Company: BKR
Filing Date: 2025-10-24
Form Type: 10-Q
Source: 0001701605-25-000117
Chunk: 71

Company: Baker Hughes Co
Filing Date: 2025-10-24
Form: 10-Q
Item: Part I, Item 8
Chunk 71
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94 Capitalized software1,602 (1,195)407 1,522 (1,172)350 Finite-lived intangible assets5,316 (3,344)1,972 4,981 (3,232)1,749 Indefinite-lived intangible assets2,208 — 2,208 2,202 — 2,202 Total intangible assets$7,524 $(3,344)$4,180 $7,183 $(3,232)$3,951 Amortization expense for the three months ended September 30, 2025 and 2024 was $58 million and $66 million, respectively, and $192 million and $200 million for the nine months ended September 30, 2025 and 2024, respectively. During the three and nine months ended September 30, 2025, the Company recorded other intangible assets of $269 million, comprised of $227 million for customer relationships, $27 million for technology, $14 million for trademarks, and $1 million for capitalized software, related to the acquisition of CDC in the IET segment.Estimated amortization expense for the remainder of 2025 and each of the subsequent five fiscal years is expected to be as follows:YearEstimated Amortization ExpenseRemainder of 2025$60 2026225 2027205 2028181 2029151 2030123 

NOTE 5. CONTRACT AND OTHER DEFERRED ASSETS

Contract assets reflect revenue earned in excess of billings on long-term contracts to construct technically complex equipment, provide long-term product service and maintenance or extended warranty arrangements and other deferred contract related costs. The Company's long-term product service agreements are provided by the IET segment. The Company's long-term equipment contracts are provided by both the IET and Oilfield Services & Equipment ("OFSE") segments. Contract assets consist of the following:September 30, 2025December 31, 2024Long-term product service agreements $345 $346 Long-term equipment contracts and certain other service agreements1,221 1,247 Contract assets (total revenue in excess of billings)1,566 1,593 Deferred inventory costs129 124 Other costs to fulfill or obtain a contract17 13 Contract and other deferred assets$1,712 $1,730 

Baker Hughes Company 2025 Third Quarter Form