Intangible and Other Non-Current Assets

12 Months Ended

Dec. 31, 2024

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Intangible and other non-current assets are as follows (in thousands):


	December 31, 2024		December 31, 2023
Tradenames	$	28,116	$	28,862
Internally developed software, net of accumulated amortization of $764 and $444, respectively	5,601		2,422
Capitalized commissions on preneed contracts, net of accumulated amortization of $4,653 and $3,788, respectively	4,991		4,678
Prepaid agreements not-to-compete, net of accumulated amortization of $3,543 and $3,158, respectively	923		1,335
Non-current prepaid and other intangibles, net of accumulated amortization of $109 and $37, respectively	1,011		380
Intangible and other non-current assets, net including HFS	40,642		37,677
Less: Held for Sale	(215)		—
Intangible and other non-current assets, net	$	40,427	$	37,677

Tradenames

During the year ended December 31, 2024, two of the funeral homes that we sold had a carrying value of tradenames of $0.2 million, which was included in the loss on sale and recorded in Net loss on divestitures, disposals and impairment charges on our Consolidated Statements of Operations.

During the year ended December 31, 2023, we increased the value of our tradenames by $3.5 million, with $1.3 million allocated to our funeral home segment and $2.2 million allocated to our cemetery segment, related to our acquisition of a business located in Bakersfield, CA, as more fully described in Note 3 to the Consolidated Financial Statements.

As a result of our 2024 and 2023 annual qualitative impairment assessments, we determined that there were factors that would indicate the need to perform additional quantitative impairment tests for certain funeral home businesses. As a result of these additional quantitative impairment tests, we recorded a $0.6 million and a $0.2 million impairment to the tradenames of certain funeral homes during the years ended December 31, 2024 and 2023, respectively, as the carrying amount of these tradenames exceeded their fair value.

See Note 1 to the Consolidated Financial Statements included herein for a discussion of the methodology used for our indefinite-lived intangible asset impairment test.

Internally Developed Software

Internally developed software is typically amortized on a straight-line basis over five years. Amortization expense was $0.3 million for each of the years ended December 31, 2024 and 2023, and $0.2 million for the year ended December 31, 2022.

Capitalized Commissions

Amortization expense was $0.9 million, $0.8 million and $0.7 million for the years ended December 31, 2024, 2023 and 2022, respectively.

Prepaid Agreements Not-to-Compete

Prepaid agreements not-to-compete are amortized over the term of the respective agreements, generally ranging from one to ten years. Amortization expense was $0.5 million for the year ended December 31, 2024, and $0.6 million for each of the years ended December 31, 2023 and 2022.

Non-current Prepaid and Other Intangibles

Non-current prepaid agreements are related to software licenses that have been prepaid for multiple years. These agreements are amortized on a straight-line basis over the term of the respective agreements, generally ranging from two to three years. Other intangible assets relate to intellectual property and are amortized on a straight-line basis, typically over three years. Amortization expense was $0.1 million and $37 thousand for the years ended December 31, 2024 and 2023, respectively.

The aggregate amortization expense for our capitalized commissions, prepaid not-to-compete agreements, internal-use software and non-current prepaid and other agreements as of December 31, 2024 is as follows (in thousands):


	Capitalized Commissions		Prepaid Agreements Not-to-compete		Internally Developed Software		Non-current Prepaid and Other Intangibles
Years ending December 31,
2025	$	915	$	389	$	1,021	$	125
2026	849		262		1,209		462
2027	784		142		1,207		424
2028	701		78		1,009		—
2029	591		38		954		—
Thereafter	1,151		14		201		—
Total amortization expense	$	4,991	$	923	$	5,601	$	1,011