Goodwill & Intangible Assets

9 Months Ended

Sep. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill & Intangible Assets

Goodwill & Intangible Assets

The changes in the carrying value of goodwill by segment for the nine months ended September 30, 2022 are as follows (in thousands):

	DME Services (a)
Balance as of December 31, 2021	$	3,710
Goodwill acquired	—
Balance as of September 30, 2022	$	3,710
(a) The ITS segment has no recorded goodwill.

The carrying amount and accumulated amortization of intangible assets consisted of the following (in thousands):

	September 30, 2022						December 31, 2021
	Gross Assets		Accumulated Amortization		Net		Gross Assets		Accumulated Amortization		Net
Nonamortizable intangible assets
Trade names	$	2,000	$	—	$	2,000	$	2,000	$	—	$	2,000
Amortizable intangible assets:
Trade names	23		(23)		—		23		(23)		—
Physician and customer relationships	38,834		(33,297)		5,537		38,834		(31,401)		7,433
Non-competition agreements	472		(138)		334		472		(67)		405
Unpatented technology	943		(224)		719		943		(123)		820
Software	11,530		(11,315)		215		11,530		(11,258)		272
Total nonamortizable and amortizable intangible assets	$	53,802	$	(44,997)	$	8,805	$	53,802	$	(42,872)	$	10,930

Amortization expense for the three and nine months ended September 30, 2022 was $0.7 million and $2.1 million, respectively, compared to $1.1 million and $3.3 million for the same prior year periods, respectively. This expense was recorded in “amortization of intangibles expenses” for each period. Expected remaining annual amortization expense for the next five years for intangible assets recorded as of September 30, 2022 is as follows (in thousands):

	2022		2023		2024		2025		2026		2027 and thereafter		Total
Amortization expense	$	369	$	990	$	990	$	810	$	524	$	3,122	$	6,805