Intangible Assets |
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| Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Intangible Assets |
(6) Intangible Assets
Goodwill
Changes in the carrying amount of goodwill by operating segment for the nine months ended September 30, 2025 were as follows:
Intangible Assets Subject to Amortization
Amortization expense for intangible assets with finite useful lives was $65 million and $73 million for the three months ended September 30, 2025 and 2024, respectively, and $198 million and $223 million for the nine months ended September 30, 2025 and 2024, respectively. Based on its amortizable intangible assets as of September 30, 2025, QVC Group expects that amortization expense will be as follows for the next five years (amounts in millions):
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Impairments
As a result of recent financial performance, macroeconomic conditions, declines in stock price and credit rating downgrades, it was determined during the second quarter of 2025 that an indication of impairment existed for the QxH reporting unit related to the QVC and HSN tradenames and goodwill. With the assistance of a third party specialist, the fair value of the tradenames was determined using the relief from royalty method, primarily using a discounted cash flow model using projections of future operating performance (income approach) and applying a royalty rate (market approach) (Level 3), and an impairment in the amount of $930 million for the QVC and HSN tradenames was recorded during the second quarter of 2025, in impairment of goodwill and intangible assets in the consolidated statements of operations. The fair value of the QxH reporting unit was determined using a discounted cash flow method (Level 3), and a goodwill impairment in the amount of $1,465 million was recorded during the second quarter of 2025 in impairment of goodwill and intangible assets in the consolidated statements of operations, reducing carrying value to fair value. The Company utilized the assistance of a third party specialist when determining the above noted fair values.
As of September 30, 2025, the Company had accumulated goodwill impairment losses of $5,228 million attributed to the QxH reporting unit.
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