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Goodwill and Other Intangible Assets, Net | 3 Months Ended
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Mar. 31, 2026
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Other Intangible Assets, Net | 3. Goodwill and Other Intangible Assets, net Goodwill is allocated to the Company’s reporting units within its Talent and Data & AI segments. In connection with the Company’s adoption of its revised segment reporting structure effective January 1, 2026, goodwill and identifiable intangible assets were reassigned to the Company’s reporting units using a relative fair value approach. The reassignment did not impact the Company’s total consolidated goodwill or intangible asset balances. Goodwill associated with the Talent segment relates to the Company’s 2015 acquisition of Hudson Global Resources Management’s U.S. IT staffing business. Goodwill associated with the Data & AI segment includes amounts related to the Company’s acquisitions of the services division of InfoTrellis in 2017 and AmberLeaf in 2020, as well as a portion of goodwill originally arising from the Company’s 2015 acquisition of Hudson Global Resources Management’s U.S. IT staffing business that was reallocated in connection with the segment realignment. The Company recorded goodwill impairment charges of $5.3 million in 2023 and $9.7 million in 2018 related to its Data & AI segment. These impairments were primarily attributable to declines in revenue levels and lower projected future revenues. A continued decline in operating performance or adverse changes in market conditions affecting the Company’s Talent segment could adversely affect the estimated fair value of the related reporting unit. If such trends persist, there is a risk that a goodwill impairment charge may be required in a future reporting period. A reconciliation of the beginning and ending amounts of goodwill by operating segment for the periods ended March 31, 2026 and December 31, 2025 is as follows:
|  | Three Months Ended March 31, 2026 |  |  | Twelve Months Ended December 31, 2025 |
|  | (in thousands) |
Talent: |  |  |  |  |  |
Beginning balance |  | $ | 5,393 |  |  | $ | 5,393 |
Goodwill recorded |  | — |  |  | — |
Impairment |  | — |  |  | — |
Ending Balance |  | $ | 5,393 |  |  | $ | 5,393 |
|  | Three Months Ended March 31, 2026 |  |  | Twelve Months Ended December 31, 2025 |
|  | (in thousands) |
Data & AI: |  |  |  |  |  |
Beginning balance |  | $ | 21,817 |  |  | $ | 21,817 |
Goodwill recorded |  | — |  |  | — |
Impairment |  | — |  |  | — |
Ending Balance |  | $ | 21,817 |  |  | $ | 21,817 |
The Company is amortizing the identifiable intangible assets on a straight-line basis over estimated average lives ranging from 3 to 12 years. Identifiable intangible assets were comprised of the following as of March 31, 2026 and December 31, 2025:
|  | As of March 31, 2026 |
(Amounts in thousands) |  | Amortization Period (In Years) |  |  | Gross Carrying Value |  |  | Accumulative Amortization |  |  | Net Carrying Value |
Talent: |  |  |  |  |  |  |  |  |  |  |  |
Client relationships |  |  | 12 |  |  | $ | 5,119 |  |  | $ | 4,604 |  |  | $ | 515 |
Covenant-not-to-compete |  |  | 5 |  |  |  | 204 |  |  |  | 204 |  |  |  | — |
Trade name |  |  | 3 |  |  |  | 159 |  |  |  | 159 |  |  |  | — |
Data & AI: |  |  |  |  |  |  |  |  |  |  |  |
Client relationships |  |  | 12 |  |  |  | 22,521 |  |  |  | 16,048 |  |  |  | 6,473 |
Covenant-not-to-compete |  |  | 5 |  |  |  | 1,316 |  |  |  | 1,316 |  |  |  | — |
Trade name |  |  | 5 |  |  |  | 1,801 |  |  |  | 1,801 |  |  |  | — |
Technology |  |  | 7 |  |  |  | 1,979 |  |  |  | 1,815 |  |  |  | 164 |
Total Intangible Assets |  |  |  |  | $ | 33,099 |  |  | $ | 25,947 |  |  | $ | 7,152 |
|  | As of December 31, 2025 |
(Amounts in thousands) |  | Amortization Period (In Years) |  |  | Gross Carrying Value |  |  | Accumulative Amortization |  |  | Net Carrying Value |
Talent: |  |  |  |  |  |  |  |  |  |  |  |
Client relationships |  |  | 12 |  |  | $ | 5,119 |  |  | $ | 4,497 |  |  | $ | 622 |
Covenant-not-to-compete |  |  | 5 |  |  |  | 204 |  |  |  | 204 |  |  |  | — |
Trade name |  |  | 3 |  |  |  | 159 |  |  |  | 159 |  |  |  | — |
Data & AI: |  |  |  |  |  |  |  |  |  |  |  |
Client relationships |  |  | 12 |  |  |  | 22,521 |  |  |  | 15,580 |  |  |  | 6,941 |
Covenant-not-to-compete |  |  | 5 |  |  |  | 1,316 |  |  |  | 1,316 |  |  |  | — |
Trade name |  |  | 5 |  |  |  | 1,801 |  |  |  | 1,801 |  |  |  | — |
Technology |  |  | 7 |  |  |  | 1,979 |  |  |  | 1,787 |  |  |  | 192 |
Total Intangible Assets |  |  |  |  | $ | 33,099 |  |  | $ | 25,344 |  |  | $ | 7,755 |
Amortization expense for the three months ended March 31, 2026 and 2025 totaled $603,000 and $650,000 respectively, and is included in selling, general and administrative expenses in the Consolidated Statement of Operations. The estimated aggregate amortization expense for intangible assets for the years ending December 31, 2026 through 2030 is as follows:
|  | Years Ended December 31, |
|  | 2026 |  |  | 2027 |  |  | 2028 |  |  | 2029 |  |  | 2030 |
|  | (Amounts in thousands) |
Amortization expense |  | $ | 2,413 |  |  | $ | 2,025 |  |  | $ | 1,637 |  |  | $ | 1,000 |  |  | $ | 248 |

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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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