Intangible Assets, Net

9 Months Ended

Sep. 30, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

At September 30, 2018, the Company’s intangible assets, net, consisted of the following:

	Useful	Gross					Net
	Life	September 30,		Accumulated			September 30,
	(Years)	2018		Amortization			2018
Indefinite Lived Assets:
Medicare license	N/A	$	1,994,000	$	-		$	1,994,000
Amortized Intangible Assets:
Network relationships	11-15		109,883,000		(45,485,494	)		64,397,506
Management contracts	15		22,832,000		(6,863,192	)		15,968,808
Member relationships	12		6,696,000		(978,876	)		5,717,124
Patient management platform	5		2,060,000		(343,333	)		1,716,667
Tradename/trademarks	20		1,011,000		(42,125	)		968,875
		$	144,476,000	$	(53,713,020	)	$	90,762,980

At December 31, 2017, the Company’s intangible assets, net, consisted of the following:

	Useful	Gross					Net
	Life	December 31,		Accumulated			December 31,
	(Years)	2017		Amortization			2017
Indefinite Lived Assets:
Medicare license	N/A	$	1,994,000	$	-		$	1,994,000
Amortized Intangible Assets:
Network relationships	11-15		109,883,000		(35,842,508	)		74,040,492
Management contracts	15		22,832,000		(5,014,886	)		17,817,114
Member relationships	12		6,696,000		(46,500	)		6,649,500
Patient management platform	5		2,060,000		(34,336	)		2,025,664
Tradename/trademarks	20		1,011,000		(4,212	)		1,006,788
		$	144,476,000	$	(40,942,442	)	$	103,533,558

Included in depreciation and amortization on the accompanying consolidated statements of income is amortization expense of $4,164,056 and $4,302,090 (excluding $106,000 amortization expense for exclusivity incentives) for the three months ended September 30, 2018 and 2017, respectively, and $12,770,578 and $12,999,407 (excluding $318,000 amortization expense for exclusivity incentives) for the nine months ended September 30, 2018 and 2017, respectively.

Future amortization expense is estimated to be as follows for the years ending December 31:

	Amount

2018 (remaining three months)	$	3,886,000
2019		14,480,000
2020		12,671,000
2021		10,961,000
2022		9,448,000
Thereafter		37,323,000

	$	88,769,000