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Acquired Intangible Assets
 12 Months Ended
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Acquired Intangible Assets
Acquired Intangible Assets
The Company accounts for intangible assets in accordance with FASB ASC 350, Goodwill and Other Intangible Assets, which requires that intangibles with indefinite useful lives be tested annually for impairment, or when management deems there is a triggering event, and those with finite useful lives be amortized over their useful lives.
In December 2024, the Company acquired the assets of AcuAudit, a freight audit platform for ocean and international air freight, from Acuitive Solutions LLC. The Company recorded intangible assets of $6.4 million at December 31, 2024, including goodwill of $4.0 million, software of $2.2 million, and a customer list of $200,000. The amounts for these
intangible assets have been recorded on a provisional basis and will be adjusted upon the completion of a third party valuation during the first quarter of 2025. The goodwill is deductible for tax purposes over 15 years, starting in 2024. The intangible assets and results of AcuAudit are included in the Information Services operating segment.
The purchase price of the acquisition consisted of a cash payment of $3.0 million and potential contingent consideration in the form of an earn out based on annualized recurring subscription and transactional revenues from the AcuAudit software (ARR) at the end of 24 months. The earn out is to be paid out in two installments, with the first payment made on January 1, 2026 based on ARR multiplied by 110%, multiplied by 80%. The second earn out payment on January 1, 2027 is based on ARR times 110% minus the first earn out payment. The Company valued the contingent earn out component at $3.5 million. The fair value of the contingent consideration was estimated on the acquisition date as the present value of the expected future contingent payments, which were determined using a Monte Carlo simulation. Any changes in the estimated fair value of the contingent earn out consideration, up to the contracted amount, will be reflected in the results of operations in future periods as they are identified.
Details of the Company’s intangible assets are as follows:
December 31, 2024December 31, 2023
(In thousands)Gross Carrying
Amount		Accumulated
Amortization		Gross Carrying
Amount		Accumulated
Amortization
Assets eligible for amortization:
Customer lists $6,670 $(5,099)$6,470 $(4,851)
Patent 72 (40)72 (36)
Software 5,412 (2,358)3,212 (1,933)
Trade Name 373 (98)373 (70)
Other 500 (425)500 (392)
Unamortized intangible assets:
Goodwill21,352 — 17,309 — 
Total intangible assets $34,379 $(8,020)$27,936 $(7,282)
Customer lists are amortized over 5 to 10 years; patents over 18 years, software over 3 years to 7 years, trade name over 10 years to 20 years and other intangible assets over 15 years. Amortization of intangible assets amounted to $739,000 and $780,000 for the years ended December 31, 2024, and 2023, respectively. Estimated future amortization of intangibles is $1,210,000 in 2025, $1,062,000 in 2026, $742,000 in 2027, $734,000 in 2028, and $703,000 in 2029.