Goodwill and Other Intangible Assets, Net

3 Months Ended

Mar. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets, Net

The changes in the carrying amount of goodwill were as follows (in thousands):


Balance, January 1, 2022	$	657,131
Acquisitions	50,756
Measurement period and currency translation adjustments	(1,993)
Balance, December 31, 2022	705,894
Acquisitions	77,089
Divestiture	(9,222)
Measurement period and currency translation adjustments	(63)
Balance, March 31, 2023	$	773,698

Goodwill is not amortized and is reviewed annually for impairment or more frequently if impairment indicators arise, in accordance with U.S. GAAP guidance on Goodwill and Other Intangible Assets. Newmark completed its annual goodwill impairment testing for the year ended December 31, 2022, which did not result in a goodwill impairment (see Note 4 — “Acquisitions” for more information). During the three months ended March 31, 2023, the Company sold a previous acquisition and wrote off $9.2 million of goodwill.

Other intangible assets consisted of the following (in thousands, except weighted-average life):


	March 31, 2023
	Gross Amount		Accumulated Amortization		Net Carrying Amount		Weighted- Average Remaining Life (Years)
Indefinite life:
Trademark and trade names	$	11,350	$	—	$	11,350	N/A
License agreements (GSE)	5,390		—		5,390		N/A
Definite life:
Trademark and trade names	16,277		(8,567)		7,710		2.6
Non-contractual customers	30,131		(15,531)		14,600		8.4

Non-compete agreements	12,565		(5,440)		7,125		4.7
Contractual customers	59,850		(11,721)		48,129		8.5
Other	4,551		(2,392)		2,159		11.9
Total	$	140,114	$	(43,651)	$	96,463	7.4


	December 31, 2022
	Gross Amount		Accumulated Amortization		Net Carrying Amount		Weighted- Average Remaining Life (Years)
Indefinite life:
Trademark and trade names	$	11,350	$	—	$	11,350	N/A
License agreements (GSE)	5,390		—		5,390		N/A
Definite life:
Trademark and trade names	12,893		(8,103)		4,790		2.4
Non-contractual customers	30,131		(14,995)		15,136		8.6
License agreements	4,981		(4,981)		—		0.0
Non-compete agreements	9,557		(5,113)		4,444		3.1
Contractual customers	48,257		(10,690)		37,567		5.7
Other	4,551		(2,260)		2,291		12.4
Total	$	127,110	$	(46,142)	$	80,968	5.9

Intangible amortization expense for the three months ended March 31, 2023 and 2022 was $3.4 million and $2.6 million, respectively. Intangible amortization is included as a part of “Depreciation and amortization” on the accompanying unaudited condensed consolidated statements of operations. Impairment charges are included in intangible amortization expense.

The estimated future amortization of definite life intangible assets as of March 31, 2023 was as follows (in thousands):


2023	$	13,620
2024	17,643
2025	16,211
2026	12,720
2027	8,733
Thereafter	10,796
Total	$	79,723