Reported 9 months ago
Illumina will incur a $1.47 billion goodwill impairment charge in the second quarter due to its spun-off cancer diagnostic test maker Grail. This charge is in addition to a potential $420 million impairment charge for Grail's in-process research and development intangible asset. Even though Illumina does not foresee significant future cash expenses from these impairments, the company had to take previous impairments totaling $4.7 billion in light of Grail's higher-than-expected costs and test development delays. Grail expects to record a $888.9 million goodwill impairment charge and a substantial impairment charge for its research and development intangible assets in the second quarter following its recent market debut.
Source: YAHOO