INTANGIBLE ASSETS AND GOODWILL

12 Months Ended

Dec. 31, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS AND GOODWILL

INTANGIBLE ASSETS AND GOODWILL

 As of December 31, 2024 and 2023, intangible assets amounted to $301.7 million and $307.6 million, respectively, net of accumulated amortization of $177.7 million and $150.2 million, respectively. Intangible assets are mainly related to the Company’s PPAs acquired in business combination transactions, and to its energy storage activities.

The following table summarizes the information related to the Company's intangible assets as of December 31, 2024 and 2023:

	December 31, 2024				December 31, 2023
	Gross Carrying Amount		Accumulated Amortization		Gross Carrying Amount		Accumulated Amortization
	(Dollars in thousands)				(Dollars in thousands)
Amortized intangible assets
Electricity segment	$	425,115	$	(150,108)	$	403,511	$	(127,324)
Storage segment	54,310		(27,573)		54,310		(22,888)
Total	$	479,425	$	(177,681)	$	457,821	$	(150,212)

Amortization expense for the years ended December 31, 2024, 2023 and 2022 amounted to $27.8 million, $26.8 million and $27.2 million, respectively.

In January 2024, the Company completed the acquisition of a portfolio of geothermal and solar assets from EGPNA which resulted in an increase of $23.6 million to intangible assets relating to long-term electricity PPAs, as further described under Note 2 to the consolidated financial statements. There were no additions to intangible assets in 2023.

The Company tested the intangible assets for recoverability in December 2024, 2023 and 2022 and assessed whether there were events or change in circumstances which may indicate that the intangible assets are not recoverable. The Company's assessment resulted in that there were no write-offs of intangible assets in 2024, 2023 and 2022, except for an immaterial amount of $0.9 million related to specific storage customer related assets in 2022.

Estimated future amortization expense for the intangible assets as of December 31, 2024 is as follows:

 

	(Dollars in thousands)
Year ending December 31:
2025		$	28,482
2026		26,277
2027		24,395
2028		24,374
2029		24,350
Thereafter		169,776
Total		$	297,654

Goodwill

 Goodwill amounting to $151.0 million and $90.5 million as of December 31, 2024 and 2023, respectively, represents the excess of the fair value of consideration transferred in business combination transactions over the fair value of tangible and intangible assets acquired, net of the fair value of liabilities assumed and non-controlling interest (as applicable) in the acquisitions. For the years 2024, 2023 and 2022, the Company's qualitative impairment assessment of goodwill related to its reporting units resulted in no impairment.

 Changes in the carrying amount of the Company’s goodwill for the years ended December 31, 2024 and 2023 were as follows:

	2024		2023
	(Dollars in thousands)
Goodwill as of January 1,	$	90,544	$	90,325
Goodwill acquired (1)	60,872		—
Translation differences	(393)		219
Goodwill as of December 31,	$	151,023	$	90,544

(1) Goodwill acquired in 2024 is related to the Enel Purchase transaction as further described under Note 2 to the consolidated financial statements.