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Business Combinations, Goodwill and Other Intangible Assets
 12 Months Ended
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Business Combinations, Goodwill and Other Intangible Assets Business Combinations, Goodwill and Other Intangible Assets
Incandescent Technologies, Inc.
On August 1, 2024, the Company, through its wholly owned subsidiary Clairvoyant AI, Inc., completed the acquisition of ITI Data, a Nebraska corporation, pursuant to an equity securities purchase agreement dated July 31, 2024 (the "Purchase Agreement"). The Company purchased 100% of the issued and outstanding equity securities in ITI Data. The ITI Data acquisition is treated as a stock acquisition for tax purposes.
ITI Data is a data management solutions firm that works with the global banks, financial services and healthcare companies. It delivers enterprise business solutions for clients processing significant data volumes with complex data management requirements. The acquisition strengthens the Company’s ability to deliver reliable, data-driven insights to its clients and ultimately drive greater value and innovation across their operations.
The Company’s purchase price allocation to net tangible and intangible assets of ITI Data as at August 1, 2024 is as follows:
Intangible assets $12,800 
Other assets, net 220 
Goodwill15,335 
Total purchase consideration (1)
$28,355 
(1) Includes contingent consideration of $2,700 recognized at fair value as of the date of acquisition.
In connection with this acquisition, the Company recorded $12,500 in customer-related intangibles which are being amortized on a straight-line basis (which approximates the economic pattern of benefits) over the estimated weighted average amortization period of 5 years.
The goodwill recognized represents the acquired capabilities, operating synergies and other benefits expected to result from combining the acquired operations with the Company’s existing operations. The goodwill has been assigned to the Company’s Analytics reportable segment based upon the Company’s assessment of nature of services rendered by ITI Data.
The results of operations of the acquired business and the fair value of the acquired assets and assumed liabilities are included in the Company’s consolidated financial statements with effect from the date of the acquisition. The acquisition did not materially impact the Company's financial position, results of operations or cash flows, and therefore, the Company has not provided any supplemental pro forma results.
Goodwill
The following table sets forth details of changes in goodwill by reportable segment of the Company:
InsuranceHealthcareEmerging BusinessAnalyticsTotal
Balance as of January 1, 2023$49,929 $21,875 $47,101 $286,732 $405,637 
Currency translation adjustments106 (3)(100)(1)2 
Balance as of December 31, 202350,035 21,872 47,001 286,731 405,639 
Acquisition— — — 22,035 22,035 
Measurement period adjustments— — — (6,700)(6,700)
Currency translation adjustments(50)(5)(531)(1)(587)
Balance as of December 31, 2024$49,985 $21,867 $46,470 $302,065 $420,387 
During the year ended December 31, 2024, the Company recognized measurement period adjustments, which led to decrease in goodwill in an amount of $6,700. These adjustments primarily relate to a change in fair value of contingent consideration and customer-related intangible assets and did not have any significant impact on “Depreciation and amortization” expense in the consolidated statements of income for the year ended December 31, 2024.
During 2024 and 2023, the Company performed an assessment to determine whether events or circumstances exist that may lead to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. Based on such assessment, the Company concluded that there was no impairment on goodwill as of December 31, 2024 and 2023.
Other Intangible Assets
Information regarding the Company’s intangible assets is set forth below:
As of December 31, 2024As of December 31, 2023
Gross
Carrying 
Amount		Accumulated
Amortization		Net 
Carrying
Amount		Gross Carrying 
Amount		Accumulated AmortizationNet 
Carrying
Amount
Finite-lived intangible assets:
Customer relationships$108,550 $(60,667)$47,883 $99,050 $(51,085)$47,965 
Developed technology3,529 (3,311)218 3,552 (2,522)1,030 
Trade names and trademarks1,700 (1,442)258 1,400 (1,286)114 
Non-compete agreements300 (228)72 336 (181)155 
114,079 (65,648)48,431 104,338 (55,074)49,264 
Indefinite-lived intangible assets:
Trade names and trademarks900 — 900 900 — 900 
Total intangible assets$114,979 $(65,648)$49,331 $105,238 $(55,074)$50,164 
The amortization expense recognized in the consolidated statements of income was as follows:
Year ended December 31,
202420232022
Amortization expense$13,630 $14,678 $17,109 
During the years ended December 31, 2024 and 2023, the Company performed an impairment test of its intangible assets for recoverability and determined that the carrying values of certain intangible assets were not fully recoverable. The Company
recorded impairment charges amounting to $429 and $nil for the years ended December 31, 2024 and 2023, respectively under “Depreciation and amortization” expense in the consolidated statements of income.
Estimated future amortization expense related to finite-lived intangible assets as of December 31, 2024 was as follows:
2025$13,120 
202612,783 
202711,844 
20289,228 
20291,456 
Total$48,431