Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND OTHER INTANGIBLE ASSETS:

As described in Note 2, Quanta’s operating units are organized into one of Quanta’s two internal divisions, and accordingly, the goodwill associated with the operating units has been aggregated on a divisional basis in the table below. These divisions are closely aligned with Quanta’s reportable segments, and operating units are assigned to a division based on the predominant type of work performed. From time to time, an operating unit may be reorganized between divisions if warranted due to changes in its predominant business.

A summary of changes in Quanta’s goodwill is as follows (in thousands):


	Electric Power Infrastructure Solutions Division		Underground Utility and Infrastructure Solutions Division		Total
Balance at December 31, 2017:
Goodwill	$	1,272,527	$	693,905	$	1,966,432
Accumulated impairment	—		(97,832)		(97,832)
	1,272,527		596,073		1,868,600

Goodwill related to acquisitions completed in 2018	56,337		—		56,337
Purchase price allocation adjustments	51		—		51
Foreign currency translation adjustments	(15,837)		(9,272)		(25,109)

Balance at December 31, 2018:
Goodwill	1,313,078		683,284		1,996,362
Accumulated impairment	—		(96,483)		(96,483)
	1,313,078		586,801		1,899,879

Goodwill related to acquisitions completed in 2019	43,183		67,200		110,383
Purchase price allocation adjustments	1,503		—		1,503

Foreign currency translation adjustments	7,399		3,511		10,910

Balance at December 31, 2019:
Goodwill	1,365,163		753,938		2,119,101
Accumulated impairment	—		(96,426)		(96,426)
	1,365,163		657,512		2,022,675

Goodwill related to acquisitions completed in 2020	79,889		6,308		86,197
Purchase price allocation adjustments	1,730		19		1,749

Foreign currency translation adjustments	2,992		7,401		10,393

Balance at December 31, 2020:
Goodwill	1,449,774		768,868		2,218,642
Accumulated impairment	—		(97,628)		(97,628)
	$	1,449,774	$	671,240	$	2,121,014

Quanta’s intangible assets and the remaining weighted average amortization periods related to its intangible assets subject to amortization were as follows (in thousands except for weighted average amortization periods, which are in years):


	As of							As of
	December 31, 2020							December 31, 2019
	Remaining Weighted Average Amortization Period in Years	Intangible Assets		Accumulated Amortization		Intangible Assets, Net		Intangible Assets		Accumulated Amortization		Intangible Assets, Net
Customer relationships	5.6	$	616,875	$	(277,647)	$	339,228	$	532,808	$	(213,915)	$	318,893
Backlog	1.3	149,769		(145,476)		4,293		144,704		(141,580)		3,124
Trade names	13.8	101,533		(32,471)		69,062		93,396		(26,145)		67,251
Non-compete agreements	3.1	47,333		(36,973)		10,360		43,281		(32,868)		10,413
Patented rights and developed technology	3.5	22,486		(21,894)		592		22,719		(20,682)		2,037
Curriculum	7.4	12,233		(3,113)		9,120		11,712		(2,696)		9,016
Total intangible assets subject to amortization	6.8	950,229		(517,574)		432,655		848,620		(437,886)		410,734
Engineering license		3,000		—		3,000		3,000		—		3,000
Total intangible assets		$	953,229	$	(517,574)	$	435,655	$	851,620	$	(437,886)	$	413,734

Amortization expense for intangible assets was $76.7 million, $62.1 million and $44.0 million for the years ended December 31, 2020, 2019 and 2018.

The estimated future aggregate amortization expense of intangible assets subject to amortization as of December 31, 2020 is set forth below (in thousands):


Year Ending December 31:
2021	$	84,748
2022	77,119
2023	68,319
2024	55,357
2025	43,805
Thereafter	103,307
Total	$	432,655