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Goodwill and Intangible Assets
 12 Months Ended
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets Goodwill and Intangible Assets
The following table presents the Company’s intangible assets (other than goodwill) and the related amortization:
WEIGHTED
AVERAGE
AMORTIZATION
PERIOD
(IN YEARS)		DECEMBER 31, 2024DECEMBER 31, 2023
GROSS
CARRYING
AMOUNT		ACCUMULATED
AMORTIZATION		NETGROSS
CARRYING
AMOUNT		ACCUMULATED
AMORTIZATION		NET
(In thousands)
Acquired software10.81$193,257 $(46,261)$146,996 $160,696 $(32,002)$128,694 
Capitalized software development costs2.6074,684 (46,756)27,928 55,640 (35,227)20,413 
Non-compete agreements4.142,634 (1,630)1,004 2,358 (1,439)919 
Trade names13.0959,461 (18,472)40,989 56,823 (15,329)41,494 
Customer relationships8.36493,815 (225,549)268,266 484,873 (189,454)295,419 
Patents3.00172 (141)31 175 (71)104 
Total$824,023 $(338,809)$485,214 $760,565 $(273,522)$487,043 
Amortization expense for intangible assets was $66,039, $54,519, and $50,739 for the years ended December 31, 2024, 2023 and 2022, respectively. Amortization expense of $14,440, $10,546, and $9,310 was recorded in cost of revenues for the years ended December 31, 2024, 2023, and 2022, respectively.
The remaining amortization of $51,599, $43,973, and $41,429 was recorded in operating expenses for the years ended December 31, 2024, 2023, and 2022, respectively.
Based on the current amount of intangibles subject to amortization, the estimated annual amortization expense for each of the succeeding five years and thereafter is as follows:
ACQUIRED
SOFTWARE		CAPITALIZED
SOFTWARE
DEVELOPMENT
COSTS		NON-
COMPETE
AGREEMENTS		TRADE
NAMES		PATENTSCUSTOMER
RELATIONSHIPS		TOTAL
(In thousands)
2025$16,731 $13,610 $256 $3,242 $10 $34,263 $68,112 
202616,506 9,162 256 3,242 10 33,349 62,525 
202714,591 5,156 236 3,242 11 33,349 56,585 
202814,382 — 211 3,242 — 33,349 51,184 
202914,208 — 45 3,242 — 33,349 50,844 
Thereafter70,578 — — 24,779 — 100,607 195,964 
Total$146,996 $27,928 $1,004 $40,989 $31 $268,266 $485,214 
Goodwill
The goodwill impairment test is performed at least annually at the reporting unit level. An interim test is performed when events or circumstances occur that may indicate that it is more likely than not that the fair value of any reporting unit may be less than its carrying value. For the years ended December 31, 2024, 2023, and 2022, the Company performed annual quantitative assessments of goodwill, with the most recent assessment performed on October 1, 2024. The annual quantitative assessments resulted in no impairment as the estimated fair value of each reporting unit exceeded its carrying value.
During the third quarter of 2023, the Company performed interim goodwill impairment tests for the prior regulatory writing reporting unit, which was integrated into the CDDS at the end of third quarter 2023. The fair
value of the regulatory writing reporting unit was determined to be less than its carrying value, resulting in a goodwill impairment charge of $46,984 for the reporting unit. The fair value of that reporting unit was estimated using a combination of the discounted cash flow method and the guideline public company method. The decline in the fair value of the regulatory writing reporting unit was driven by revised revenue growth and profitability forecasts resulting from certain reductions in our financial planning assumptions. These reductions were primarily attributable to a decrease in demand from certain customer groups for the legacy reporting unit. As the result, the Company recorded impairment charges of $46,984 for the year ended December 31, 2023. The Company did not recognize any goodwill impairment charges for the years ended December 31, 2024 and 2022.
A reconciliation of the change in the carrying value of goodwill is as follows:
(In thousands)
Balance, December 31, 2022$717,743 
Goodwill associated with 2023 business combinations43,223 
Foreign currency translation2,351 
Impairment expense(46,984)
Balance, December 31, 2023716,333 
Goodwill associated with 2024 business combination46,483 
Foreign currency translation (5,778)
Balance, December 31, 2024$757,038