XML 31 R16.htm IDEA: XBRL DOCUMENT
v3.22.2

Goodwill and Intangible Assets, Net | 6 Months Ended
--- | ---
Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets, Net | Goodwill and Intangible Assets, Net Goodwill Goodwill has an estimated indefinite life and is not amortized; rather, it is reviewed for impairment at least annually or whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. The Company has three reporting units, each with discrete financial information. Our assets and liabilities are employed in and relate to the operations of our reporting units. Therefore, the equity carrying value and future cash flows must be estimated each time a goodwill impairment analysis is performed on a reporting unit. As a result, our assets, liabilities and cash flows are assigned to reporting units using reasonable and consistent allocation methodologies. Our annual goodwill impairment review occurs on October 31 of each fiscal year. We evaluate qualitative factors that could cause us to believe the estimated fair value of each of our reporting units may be lower than the carrying value and trigger a quantitative assessment, including, but not limited to (i) macroeconomic conditions, (ii) industry and market considerations, (iii) our overall financial performance, including an analysis of our current and projected cash flows, revenues and earnings, (iv) a sustained decrease in share price and (v) other relevant entity-specific events including changes in management, strategy, partners, or litigation. We did not identify any qualitative factors that would trigger a quantitative goodwill impairment test during the three and six months ended June 30, 2022. We will perform our annual impairment test on October 31, 2022. 2021 Goodwill Impairment Test On October 31, 2021, the Company performed its annual goodwill impairment review for fiscal year 2021. Based on our qualitative assessment, we did not identify sufficient indicators of impairment that would suggest the fair value of any of our three reporting units was below their respective carrying values. As a result, a quantitative goodwill impairment analysis was not required. Change in Goodwill The following table summarizes the changes in the carrying amount of goodwill, by reportable segment, for the periods presented (in thousands):
| EHS |  | Clinical Solutions |  | Consolidated
Balance as of December 31, 2021(1) | $ | 214,334 |  |  | $ | 211,963 |  |  | $ | 426,297 |
Foreign currency translation | (69) |  |  | — |  |  | (69) |
Balance as of June 30, 2022 | $ | 214,265 |  |  | $ | 211,963 |  |  | $ | 426,228 |
Balance as of December 31, 2020(1) | $ | 214,354 |  |  | $ | 134,675 |  |  | $ | 349,029 |
Foreign currency translation | (20) |  |  | — |  |  | (20) |
Balance as of June 30, 2021 | $ | 214,334 |  |  | $ | 134,675 |  |  | $ | 349,009 |
———————— (1)Net of cumulative inception to date impairment of $575.5 million as of both December 31, 2021 and 2020. Intangible Assets, Net Details of our intangible assets (in thousands, except weighted-average useful lives) as of June 30, 2022 and December 31, 2021 are presented below:
| June 30, 2022 |  | December 31, 2021
| Weighted- Average Remaining Useful Life |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Value |  | Weighted- Average Remaining Useful Life |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Value
Corporate trade name | 11.9 |  | $ | 25,800 |  |  | $ | 8,466 |  |  | $ | 17,334 |  |  | 12.4 |  | $ | 25,800 |  |  | $ | 7,693 |  |  | $ | 18,107 |
Customer relationships | 14.4 |  | 311,019 |  |  | 81,125 |  |  | 229,894 |  |  | 14.9 |  | 311,019 |  |  | 72,697 |  |  | 238,322 |
Technology | 1.7 |  | 87,922 |  |  | 77,041 |  |  | 10,881 |  |  | 2.0 |  | 87,922 |  |  | 73,378 |  |  | 14,544 |
Below market lease, net | 0.8 |  | 1,218 |  |  | 1,050 |  |  | 168 |  |  | 1.3 |  | 1,218 |  |  | 950 |  |  | 268 |
Provider network contracts (1) | 1.7 |  | 16,236 |  |  | 9,667 |  |  | 6,569 |  |  | 2.2 |  | 16,417 |  |  | 7,874 |  |  | 8,543 |
Total intangible assets, net |  |  | $ | 442,195 |  |  | $ | 177,349 |  |  | $ | 264,846 |  |  |  |  | $ | 442,376 |  |  | $ | 162,592 |  |  | $ | 279,784 |
Amortization expense related to intangible assets was $7.3 million and $14.8 million for the three and six months ended June 30, 2022, respectively, and $7.2 million and $14.7 million for the three and six months ended June 30, 2021, respectively. Future estimated amortization of intangible assets (in thousands) as of June 30, 2022, is as follows:
2022 | $ | 14,375 |
2023 | 26,760 |
2024 | 20,875 |
2025 | 19,330 |
2026 | 19,153 |
Thereafter | 164,353 |
Total future amortization of intangible assets | $ | 264,846 |
Intangible assets are reviewed for impairment if circumstances indicate the Company may not be able to recover the assets’ carrying value. We did not identify any circumstances during the three and six months ended June 30, 2022, that would require an impairment test for our intangible assets.

X
- References No definition available. + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -URI https://asc.fasb.org/topic&trid=2144416 + Details
Name: | us-gaap_GoodwillAndIntangibleAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration