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GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS | 6 Months Ended
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Jun. 30, 2025
Goodwill and Intangible Assets Disclosure [Abstract] |
GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS | GOODWILL AND IDENTIFIABLE INTANGIBLE ASSETS Impairment of Goodwill Due to recent declines in forecasted revenue and earnings of the physician and leadership solutions reporting unit, the Company performed a quantitative goodwill impairment test for the reporting unit in the second quarter of 2025. The Company engaged a third-party valuation specialist to assist with determining the fair value of the reporting unit, which was estimated using an equal weighting of the income and market approaches. The discounted cash flow method (within the income approach) requires the use of Level 3 inputs, including (i) estimated future cash flows based on internally-developed forecasts of revenue, expenses and profit margins, (ii) estimated long-term growth rates, and (iii) determination of the Company’s weighted average cost of capital that reflects the relative risk of the cash flows for each reporting unit. The guideline public company method (within the market approach) derives valuation multiples based on the market capitalization of similar publicly traded companies to apply to the forecasted financial metrics of the reporting unit. The market multiples used are revenue and earnings before interest, taxes, depreciation, and amortization (EBITDA). In addition, as fair value determined under the guideline public company method represents a noncontrolling interest, a control premium was applied to arrive at the estimated fair value of the reporting unit on a controlling basis. The quantitative test resulted in a goodwill impairment loss for the physician and leadership solutions reporting unit. Consideration was first given to long-lived assets within the reporting unit, and no impairment was recognized on such assets as the future undiscounted cash flows were in excess of the carrying amount of each asset group tested for impairment. The decline in the fair value of the physician and leadership solutions reporting unit below its carrying amount resulted from changes in estimated future cash flows primarily due to lower-than-expected volume for the locum tenens staffing business, continued gross margin pressures in the locum tenens staffing business driven by higher provider pay packages, and a continued decline in demand for the healthcare interim leadership and permanent placement solutions. As a result, an impairment loss of $91,221 was recorded to goodwill of the physician and leadership solutions reporting unit. Recognition of the non-cash goodwill impairment loss resulted in income tax benefits that reduced the deferred tax liability associated with goodwill by $18,294, which increased the carrying amount of the physician and leadership solutions reporting unit. An incremental impairment loss of the same amount was recognized to reduce the reporting unit’s carrying amount to its previously determined fair value. After recognition of the incremental charge, the goodwill impairment loss amounted to $109,515 in total. The following table summarizes the activity related to the carrying value of goodwill by reportable segment:
| Nurse and Allied Solutions |  | Physician and Leadership Solutions |  | Technology and Workforce Solutions |  | Total
Balance, January 1, 2025 | $ | 259,137 |  |  | $ | 237,760 |  |  | $ | 400,559 |  |  | $ | 897,456 |
Goodwill impairment loss | — |  |  | (109,515) |  |  | — |  |  | (109,515) |
Goodwill in assets held for sale | — |  |  | — |  |  | (32,132) |  |  | (32,132) |
Balance, June 30, 2025 | $ | 259,137 |  |  | $ | 128,245 |  |  | $ | 368,427 |  |  | $ | 755,809 |
Accumulated impairment loss as of December 31, 2024 | $ | 277,727 |  |  | $ | 159,669 |  |  | $ | — |  |  | $ | 437,396 |
Accumulated impairment loss as of June 30, 2025 | $ | 277,727 |  |  | $ | 269,184 |  |  | $ | — |  |  | $ | 546,911 |
Impairment of Intangible Assets During the second quarter of 2025, the Company determined that recent declines in forecasted revenue and earnings of the revenue cycle solutions business (within the nurse and allied solutions segment) indicated that the carrying amounts of its customer relationships intangible assets may not be recoverable. Accordingly, the Company tested the recoverability of the asset group based on undiscounted estimated future cash flows and concluded that its carrying amount was not recoverable. The Company engaged a third-party valuation specialist to assist with determining the fair value of the asset group, which was estimated using the discounted cash flow method (within the income approach), and concluded that the asset group’s carrying amount exceeded its fair value. As a result, Company recognized an impairment loss on the customer relationships intangible assets of $18,262, which is included within long-lived assets impairment loss in the condensed consolidated statements of comprehensive income (loss). See Note (7), “Fair Value Measurement,” for additional information regarding the measurement of the asset group’s fair value. The Company had the following acquired intangible assets (exclusive of assets held for sale) as of June 30, 2025 and December 31, 2024:
| As of June 30, 2025 |  | As of December 31, 2024
| Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Amount |  | Gross Carrying Amount |  | Accumulated Amortization |  | Net Carrying Amount
Intangible assets subject to amortization: |  |  |  |  |  |  |  |  |  |  |
Staffing databases | $ | 52,336 |  |  | $ | (41,662) |  |  | $ | 10,674 |  |  | $ | 52,336 |  |  | $ | (39,879) |  |  | $ | 12,457 |
Customer relationships | 467,321 |  |  | (220,855) |  |  | 246,466 |  |  | 532,048 |  |  | (247,550) |  |  | 284,498 |
Tradenames and trademarks | 282,168 |  |  | (219,632) |  |  | 62,536 |  |  | 284,488 |  |  | (204,159) |  |  | 80,329 |
Non-compete agreements | 9,399 |  |  | (8,240) |  |  | 1,159 |  |  | 9,399 |  |  | (7,783) |  |  | 1,616 |
Acquired technology | 36,285 |  |  | (34,602) |  |  | 1,683 |  |  | 37,915 |  |  | (35,451) |  |  | 2,464 |
| $ | 847,509 |  |  | $ | (524,991) |  |  | $ | 322,518 |  |  | $ | 916,186 |  |  | $ | (534,822) |  |  | $ | 381,364 |

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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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