A summary of changes in goodwill by segment for the nine months ended October 3, 2026, is as follows:


	Hydraulics			Electronics		Total
Balance at January 3, 2026	$	312.1		$	186.0	$	498.1
Currency translation		(10.8	)		0.1		(10.7	)
Balance at October 3, 2026	$	301.3		$	186.1	$	487.4
Accumulated impairments		31.9			25.9		57.8

The Company tests goodwill for impairment at the reporting unit level annually as of the third quarter period end date, and between annual tests whenever events or circumstances indicate that the carrying value of a reporting unit may exceed its fair value. The Company performed its 2026 annual goodwill impairment test as of October 3, 2026 using a

qualitative assessment and concluded that it was not more likely than not that the fair value of any reporting unit was less than its carrying value. Accordingly, no impairment was recorded during the three and nine months ended October 3, 2026.

During the third quarter of 2025, the Company concluded that the estimated fair value of the i3 Product Development (“i3PD”) reporting unit was less than its carrying value. As a result, the Company recorded a goodwill impairment charge of $25.9, representing the full amount of goodwill of the i3PD reporting unit, in the three and nine months ended September 27, 2025.

At October 3, 2026, and January 3, 2026, acquired intangible assets consisted of the following:


	October 3, 2026							January 3, 2026
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Definite-lived intangibles:
Trade names and brands	$	94.7	$	(38.0	)	$	56.7	$	95.8	$	(34.5	)	$	61.3
Technology		53.9		(40.3	)		13.6		54.7		(36.8	)		17.9
Supply agreement		21.0		(20.7	)		0.3		21.0		(19.1	)		1.9
Customer relationships		392.8		(122.5	)		270.3		400.3		(111.5	)		288.8
	$	562.4	$	(221.5	)	$	340.9	$	571.8	$	(201.9	)	$	369.9

Intangible assets that were fully amortized as of the end of fiscal year 2025, with a gross carrying amount and accumulated amortization of $8.2, have been excluded from the table above for both periods presented. The net carrying amount of intangible assets as of January 3, 2026 is unchanged. Amortization expense on acquired intangible assets for the nine months ended October 3, 2026, and September 27, 2025, was $22.6 and $24.1, respectively, reflected in Amortization of intangible assets in the Condensed Consolidated Statements of Operations. Additionally, $0.2 and $0.5 of acquired amortization expense for the three and nine months ended October 3, 2026, respectively, was reflected in Cost of sales in the Condensed Consolidated Statement of Operations.

Future estimated total amortization expense is presented below.


Year:
2026 Remaining	$	7.3
2027		27.1
2028		26.8
2029		24.9
2030		24.1
2031		23.0
Thereafter		207.7
Total	$	340.9

In January 2025, the Company began restructuring the Helios Center of Engineering Excellence (“HCEE”), ceasing operations at its San Antonio office at the end of the second quarter of 2025. As a result, the remaining net book value of the HCEE workforce intangible asset was amortized through June 2025, resulting in $0.8 amortization expense in the nine months ending September 27, 2025 associated with this intangible asset.