9. Other intangible Assets

The Modus brand recognised in the balance sheet (carrying amount €1,900 thousand) has an indefinite useful life. This unlimited useful life is due to the fact that Modus Consult GmbH will continue to constitute a key element of the Bechtle Group along with its respective brands and the legal protection of the brand can easily be perpetuated over an extended period. The Inmac WStore brand (carrying amount €2,747 thousand) has a useful life of ten years. In 2024, the brands Magnetic Media Network (carrying amount €414 thousand) with a useful life of four years and DriveWorks (carrying amount €231 thousand) with a useful life of five years were added. In the reporting period, the brands Grupo Solutia Tecnologia (carrying amount €8,260 thousand) and Nuovamacut Automazione (carrying amount €3,828 thousand) were added, each with a useful life of ten years. The brands are allocated to their respective national markets.

The discount rate used in the annual impairment tests to determine the value in use for the Modus brand is based on input parameters derived from the market and was set at 9.0 per cent (previous year: 8.8 per cent). The cash flow forecasts used are based on the revenue and cost plans approved by the management. Further growth rates are only assumed in the amount necessary to compensate for inflation. In the reporting period, as in prior years, the value in use that was determined for the brand surpassed the value in the balance sheet. Sensitivity analyses revealed that even in the case of divergent key assumptions within a realistic framework, there would be no need for impairment of the brand. The change in the carrying amount compared to the previous year is primarily due to the capitalisation of the two new brands Grupo Solutia Tecnologia and Nuovamacut Automazione.

At €26,324 thousand (previous year: €0 thousand), the largest share of capitalised customer bases was formed via Nuovamacut Automazione, which was acquired in the reporting period and has a remaining useful life of around 18 years, and at €15,493 thousand (previous year: €21,303 thousand) via Inmac WStore SAS, which was acquired in 2018 and has a remaining useful life of around three years. The depreciation of customer bases is mainly allocated to sales and distribution costs. Internally generated software amounting to €27,760 thousand (previous year: €35,007 thousand) exclusively comprises capitalised development costs. In the reporting period, €1,752 thousand (previous year: €29,970 thousand) was capitalised. The item advance payments and software under development includes development costs amounting to €25,509 thousand (previous year: €9,025 thousand).

The development of the other intangible assets is presented in Appendices B and C to the Notes.