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Goodwill and Intangible Assets, Net | 3 Months Ended
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Mar. 31, 2026
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets, Net | Goodwill and Intangible Assets, Net Goodwill Goodwill has an estimated indefinite life. 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. 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 our reporting unit 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. 2025 Annual Goodwill Impairment Test Subsequent to our 2024 goodwill impairment test through the end of 2025, the closing price per share of our Class A common stock declined from $23.35 per common share on October 31, 2024 to $6.67 at October 31, 2025. As a result of the prolonged decline in our stock price, the Company elected to forego the qualitative assessment and proceed directly to the quantitative assessment of the goodwill impairment test for our sole reporting unit. To determine the implied fair value for our single reporting unit, we used a discounted cash flow valuation approach (“income approach”). In determining the estimated fair value using the income approach, we projected future cash flows based on management’s estimates and long-term plans and applied a discount rate based on the Company’s weighted average cost of capital. This analysis required us to make judgments about revenues, expenses, fixed asset and working capital requirements, capital market assumptions and cash flows, as well as discount rates to reconcile to our market capitalization. As a result of the decrease in our Class A common stock since our 2024 goodwill impairment test, the market capitalization reconciliation indicated that the carrying amount of our reporting unit exceeded its fair value. Therefore, the Company recorded a $398.0 million non-cash and non-tax-deductible impairment charge, reflected within operating expenses in the consolidated statements of operation for the year ended December 31, 2025. As of March 31, 2026, Evolent assessed whether there were events or changes in circumstances that would more likely than not reduce the fair value of its goodwill below its carrying amount and require an interim impairment test. The Company determined there had been no such indicators. Therefore, it was unnecessary to perform a goodwill impairment assessment as of March 31, 2026. Change in Goodwill The following table summarizes the changes in the carrying amount of goodwill, for the periods presented (in thousands):
| For the Three Months Ended March 31,
| 2026 |  | 2025 |  |
Balance, beginning of period | $ | 694,482 |  |  | $ | 1,137,320 |  |  |
Foreign currency translation | (49) |  |  | — |  |  |
Balance, end of period | $ | 694,433 |  |  | $ | 1,137,320 |  |  |
Intangible Assets, Net Details of our intangible assets (in thousands, except weighted-average useful lives) are presented below:
| March 31, 2026 |  | December 31, 2025
| 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 | 0.0 |  | $ | 51,965 |  |  | $ | 51,965 |  |  | $ | — |  |  | 0.0 |  | $ | 51,965 |  |  | $ | 51,965 |  |  | $ | — |
Customer relationships | 12.4 |  | 806,668 |  |  | 266,709 |  |  | 539,959 |  |  | 12.6 |  | 806,668 |  |  | 255,517 |  |  | 551,151 |
Technology | 1.8 |  | 169,715 |  |  | 139,992 |  |  | 29,723 |  |  | 2.0 |  | 169,715 |  |  | 135,929 |  |  | 33,786 |
Below market lease, net | 0.0 |  | 1,218 |  |  | 1,218 |  |  | — |  |  | 0.0 |  | 1,218 |  |  | 1,218 |  |  | — |
Provider network contracts | 0.0 |  | 9,600 |  |  | 9,600 |  |  | — |  |  | 0.0 |  | 9,600 |  |  | 9,600 |  |  | — |
Total intangible assets, net |  |  | $ | 1,039,166 |  |  | $ | 469,484 |  |  | $ | 569,682 |  |  |  |  | $ | 1,039,166 |  |  | $ | 454,229 |  |  | $ | 584,937 |
Amortization expense related to intangible assets was $15.3 million and $16.8 million for the three months ended March 31, 2026 and 2025, respectively. Future estimated amortization of intangible assets is as follows (in thousands):
2026 | $ | 45,766 |
2027 | 59,028 |
2028 | 47,133 |
2029 | 44,992 |
2030 | 43,959 |
Thereafter | 328,804 |
Total future amortization of intangible assets | $ | 569,682 |

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 30 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-30/tableOfContent Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-20/tableOfContent + Details
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