Balance Sheet Components

3 Months Ended

Mar. 31, 2024

Balance Sheet Related Disclosures [Abstract]

Goodwill

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


	Amounts
Balance as of December 31, 2023	$	702,984
Goodwill acquired - C2i	55,974
Effect of foreign currency translation on Goodwill acquired - HalioDx	(5,105)
Balance as of March 31, 2024	$	753,853

Intangible Assets, Net

Intangible assets include finite-lived product technology, customer relationships, licenses and trade names and indefinite-lived in-process research and development. Intangible assets consisted of the following (in thousands of dollars):


	March 31, 2024						December 31, 2023						Weighted Average Remaining Amortization Period (Years)
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Percepta product technology	$	16,000	$	(9,600)	$	6,400	$	16,000	$	(9,333)	$	6,667	6
Prosigna product technology	4,120		(1,190)		2,930		4,120		(1,122)		2,998		11
Prosigna customer relationships	2,430		(2,106)		324		2,430		(1,985)		445		1
LymphMark product technology	990		(613)		377		990		(577)		413		3
Decipher product technology	90,000		(27,484)		62,516		90,000		(25,234)		64,766		7
Decipher trade names	4,000		(2,443)		1,557		4,000		(2,243)		1,757		2
HalioDx developed technology	1,404		(374)		1,030		1,435		(346)		1,089		7
HalioDx customer relationships	2,699		(1,436)		1,263		2,760		(1,331)		1,429		2
HalioDx customer backlog	4,166		(2,734)		1,432		4,258		(2,529)		1,729		1
C2i developed technology	25,300		(281)		25,019		—		—		—		15
Total finite-lived intangibles	151,109		(48,261)		102,848		125,993		(44,700)		81,293		8.7
In-process research and development	13,500		—		13,500		7,300		—		7,300
Total intangible assets	$	164,609	$	(48,261)	$	116,348	$	133,293	$	(44,700)	$	88,593

Acquisition-related intangibles are generally finite-lived and are carried at cost less accumulated amortization. Amortization of the finite-lived intangible assets is recognized on a straight-line basis over their estimated lives, which approximates the pattern in which the economic benefits of the intangible assets are expected to be realized.

Amortization expense of $3.7 million and $5.3 million was recognized for the three months ended March 31, 2024 and 2023, respectively.

The estimated future aggregate amortization expense as of March 31, 2024 is as follows (in thousands of dollars):


Year Ending December 31,	Amounts
2024 remainder of year	$	11,332
2025	14,250
2026	12,773
2027	12,169
2028	12,169
Thereafter	40,155
Total	$	102,848

Impairment of Long-Lived Assets

Impairment of long-lived assets for the three months ended March 31, 2024 and 2023 was $0.4 million and $1.4 million, respectively, of impairment of right-of-use and fixed assets in relation to exiting our Watertown and Richmond facilities.

Supplies and Inventory

As of March 31, 2024 and December 31, 2023, supplies and inventory consisted of $13.7 million and $12.2 million, respectively, of lab supplies and reagents consumed in the performance of testing services, and $4.6 million and $4.0 million, respectively, of inventory related to finished and semi-finished components used in the assembly of diagnostic kits related to product sales and raw materials consumed in the contract manufacturing process.

Accrued Liabilities

Accrued liabilities consisted of the following (in thousands of dollars):


	March 31, 2024		December 31, 2023
Accrued compensation expenses	$	16,948	$	26,430
Accrued other	13,345		11,997
Total accrued liabilities	$	30,293	$	38,427