
	June 28, 2026						December 28, 2025
(Dollars in Millions)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Definite-lived intangible assets:
Patents and trademarks	$	4,284	$	(2,083)	$	2,201	$	4,406	$	(2,054)	$	2,352
Customer relationships	1,995		(1,169)		826		2,049		(1,178)		871
Other intangibles	1,323		(776)		547		1,329		(760)		569
Total definite-lived intangible assets	$	7,602	$	(4,028)	$	3,574	$	7,784	$	(3,992)	$	3,792
Indefinite-lived intangible assets:
Trademarks	$	4,771	$	—	$	4,771	$	4,840	$	—	$	4,840
Other	61		—		61		62		—		62
Total intangible assets, net	$	12,434	$	(4,028)	$	8,406	$	12,686	$	(3,992)	$	8,694

Amortization expense for the Company’s amortizable assets, which is included in Cost of sales, was $64 million for each of the fiscal three months ended June 28, 2026 and June 29, 2025, and $129 million and $127 million for the fiscal six months ended June 28, 2026 and June 29, 2025, respectively.


(Dollars in Millions)	Self Care		Skin Health and Beauty		Essential Health		Total Goodwill


December 28, 2025	$	5,562	$	2,263	$	1,684	$	9,509
Currency translation	(168)		(51)		(25)		(244)
June 28, 2026	$	5,394	$	2,212	$	1,659	$	9,265

For the fiscal twelve months ended December 28, 2025, the Company completed its annual goodwill impairment tests and performed a qualitative assessment on each of the reporting units on the annual test date. Based on this assessment, the Company concluded that no impairment to goodwill was necessary as it was more likely than not that the estimated fair value of each reporting unit was in excess of its respective carrying value.

In addition to the qualitative assessment performed as of the annual test date for the fiscal twelve months ended December 28, 2025, there was a reassessment of the long-term outlook for the Skin Health and Beauty business during the fiscal three months ended September 28, 2025. The revised outlook aimed to address slower growth in the broader skincare categories, as well as the recent decline in profitability of the Skin Health and Beauty reporting unit. Management revised the internal forecasts to reflect the updated outlook. These changes in circumstances were determined to be a triggering event, which resulted in a quantitative interim impairment assessment of the fair value of the Skin Health and Beauty reporting unit. The Company also elected to perform a quantitative interim impairment assessment for the Self Care and Essential Health reporting units in conjunction with the assessment performed for the Skin Health and Beauty reporting unit, which were the latest quantitative impairment assessments performed.

Based on the results of the assessment, the estimated fair value of the Skin Health and Beauty reporting unit exceeded the carrying value by approximately 10%; therefore, no impairment charge was recorded for the fiscal three months ended September 28, 2025. If all other assumptions were held constant, an increase of approximately 100 basis points in the selected discount rate would have resulted in an impairment charge. No impairment to goodwill was necessary for any of the Company’s reporting units, as the estimated fair value of each reporting unit exceeded its respective carrying value.

A decline in forecasted Net sales or net income, or adverse macroeconomic developments such as rising interest rates, could significantly reduce the excess between fair value and carrying value. Management continues to monitor the performance of the Skin Health and Beauty business; further deterioration of market conditions or an inability of the Company to execute on its strategies could lead to an impairment charge of the goodwill associated with the Skin Health and Beauty reporting unit in the future.