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Goodwill and Intangible Assets | 3 Months Ended
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Mar. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Intangible Assets | 8. Goodwill and Intangible Assets Goodwill The following table summarizes the activity in the carrying value of goodwill by reporting unit for the three months ended March 31, 2022 and 2021 (in thousands):
|  | Ecommerce |  |  | Wholesale |  |  | TDA |  |  | Total |
Balance as of December 31, 2020 |  | $ | 72,231 |  |  | $ | 1,720 |  |  | $ | 4,221 |  |  | $ | 78,172 |
Acquisition |  |  | 81,134 |  |  |  | — |  |  |  | — |  |  |  | 81,134 |
Balance as of March 31, 2021 |  | $ | 153,365 |  |  | $ | 1,720 |  |  | $ | 4,221 |  |  | $ | 159,306 |
Balance as of December 31, 2021 |  | $ | 152,876 |  |  | $ | 1,720 |  |  | $ | 4,221 |  |  | $ | 158,817 |
Acquisition |  |  | 42,886 |  |  |  | — |  |  |  | — |  |  |  | 42,886 |
Goodwill impairment charge |  |  | (195,762 | ) |  |  | (1,720 | ) |  |  | (4,221 | ) |  |  | (201,703 | )
Balance as of March 31, 2022 |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |
As of March 31, 2022 a quantitative interim goodwill impairment assessment was performed over the Company's reporting units due to further sustained declines in the Company's and comparable companies' stock prices during the three months ended March 31, 2022. The Company estimated the fair value of the Ecommerce, Wholesale, and TDA reporting units using the discounted cash flow method under the income approach. The significant assumptions used in the valuation include revenue growth rates, future gross profit margins and operating expenses used to calculate projected future cash flows, determination of the weighted average cost of capital, and future economic and market conditions. The terminal value is based on an exit revenue multiple which requires significant assumptions regarding the selection of appropriate multiples that consider relevant market trading data. The Company bases its estimates and assumptions on its knowledge of the automotive and ecommerce industries, recent performance, expectations of future performance and other assumptions the Company believe to be reasonable. The Company determined that the estimated fair value of the Ecommerce, Wholesale, and TDA reporting units was less than their carrying amounts. The Company recorded a goodwill impairment charge of $201.7 million in the condensed consolidated statements of operations for the three months ended March 31, 2022. No impairment charges were recorded for the three months ended March 31, 2021. Refer to Note 5 – Acquisitions for more information related to the acquisitions that occurred in the three months ended March 31, 2022 and 2021. Intangible Assets Intangible assets, net consisted of the following (in thousands):
|  | March 31, 2022 |  |  | December 31, 2021 |
|  | Gross Carrying Value |  |  | Accumulated Amortization |  |  | Carrying Value |  |  | Gross Carrying Value |  |  | Accumulated Amortization |  |  | Carrying Value |
Developed and Purchased Technology |  | $ | 108,700 |  |  | $ | (8,305 | ) |  | $ | 100,395 |  |  | $ | 25,700 |  |  | $ | (5,043 | ) |  | $ | 20,657 |
Customer Relationships |  |  | 69,400 |  |  |  | (2,154 | ) |  |  | 67,246 |  |  |  | 5,240 |  |  |  | (673 | ) |  |  | 4,567 |
Trademarks and Trade names |  |  | 12,240 |  |  |  | (698 | ) |  |  | 11,542 |  |  |  | 3,400 |  |  |  | (417 | ) |  |  | 2,983 |
Other |  |  | 252 |  |  |  | (252 | ) |  |  | — |  |  |  | 252 |  |  |  | (252 | ) |  |  | — |
Total intangible assets |  | $ | 190,592 |  |  | $ | (11,409 | ) |  | $ | 179,183 |  |  | $ | 34,592 |  |  | $ | (6,385 | ) |  | $ | 28,207 |
Refer to Note 5 – Acquisitions for more information related to the acquisitions that occurred in the three months ended March 31, 2022 and 2021. Amortization expense for intangible assets was $5.0 million and $1.4 million for the three months ended March 31, 2022 and 2021, respectively. The estimated amortization expense for intangible assets subsequent to March 31, 2022, consists of the following (in thousands):
Year Ending December 31: |  |  |
For remainder of 2022 |  | $ | 20,270 |
2023 |  |  | 27,022 |
2024 |  |  | 27,022 |
2025 |  |  | 27,022 |
2026 |  |  | 21,979 |
Thereafter |  |  | 55,868 |
|  | $ | 179,183 |

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 350 -URI http://asc.fasb.org/topic&trid=2144416 + Details
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