Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

Note 5. Goodwill and Other Intangible Assets, net

Goodwill and Indefinite-Lived Intangible Asset Summary. The changes in the carrying amount of goodwill and indefinite-lived intangible asset are as follows (in thousands):


	Goodwill			Cars.com Trade name
December 31, 2023	$	147,058		$	390,020
Foreign currency translation adjustment		(3,479	)		—
Other adjustments		(300	)		—
December 31, 2024	$	143,279		$	390,020
Additions (1)		21,980			—
Foreign currency translation adjustment		1,948			—
December 31, 2025	$	167,207		$	390,020

(1)

In connection with the DealerClub Acquisition, the Company recorded goodwill in the amount of $22.0 million. For more information on the DealerClub Acquisition, see Note 3 (Business Combinations).

Goodwill and Indefinite-Lived Intangible Asset Impairment Test. The Company performed impairment tests for goodwill and the indefinite-lived intangible asset. The Company performed a qualitative assessment that considers events and circumstances such as macroeconomic conditions, industry and market conditions, cost factors and overall financial performance, as well as company specific facts and circumstances. After performing this assessment, the Company concluded there were no indicators of impairment and therefore, the Company did not perform a quantitative test and did not record an impairment to goodwill or the indefinite-lived intangible asset during any of the three years ending December 31, 2025, 2024 and 2023.

Definite Lived Intangible Assets. The Company’s definite-lived intangible assets by major asset class are as follows (in thousands):


	December 31, 2025									December 31, 2024
	Weighted Average Remaining Useful Life (years)		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Customer relationships		5.1	$	859,086	$	(739,817	)	$	119,269	$	857,733	$	(687,163	)	$	170,570
Acquired software		2.2		85,508		(71,917	)		13,591		82,386		(63,102	)		19,284
Other trade names		3.1		26,975		(22,773	)		4,202		26,941		(21,125	)		5,816
Content library		-		2,100		(2,100	)		—		2,100		(2,100	)		—
Total			$	973,669	$	(836,607	)	$	137,062	$	969,160	$	(773,490	)	$	195,670

As of December 31, 2025, projected annual amortization expense for amortizable intangible assets is as follows (in thousands):


2026	$	41,534
2027		35,278
2028		29,085
2029		14,335
2030		2,292
Thereafter		14,538
Total	$	137,062