Goodwill and Intangible Assets

3 Months Ended

Mar. 31, 2019

Goodwill And Intangible Assets Disclosure [Abstract]

Goodwill and Intangible Assets

5. Goodwill and Intangible Assets

Goodwill

The gross carrying amount of goodwill was as follows (in thousands):

Balance at December 31, 2018	$	8,334
Foreign currency translation adjustment		(166	)
Balance at March 31, 2019	$	8,168

Intangible assets

The gross carrying amounts and net book value of intangible assets were as follows (in thousands):

	March 31, 2019
	GrossCarrying Amount		Accumulated Amortization		Net Book Value
Intangible assets with finite lives:
License agreement	$	11,094	$	1,895	$	9,199
Total intangible assets with finite lives		11,094		1,895		9,199
Acquired IPR&D assets		15,300		—		15,300
Total intangible assets	$	26,394	$	1,895	$	24,499

	December 31, 2018
	GrossCarrying Amount		Impairment		(1)	Accumulated Amortization		Net Book Value
Intangible assets with finite lives:
License agreement	$	11,318	$	—		$	1,792	$	9,526
Total intangible assets with finite lives		11,318		—			1,792		9,526
Acquired IPR&D assets		19,626		4,017			—		15,609
Total intangible assets	$	30,944	$	4,017		$	1,792	$	25,135

⁽¹⁾ The amount includes effects of foreign currency exchange rates.

Intangible assets are carried at cost less accumulated amortization and impairment. Amortization is over a period of 20 years and the amortization expense is recorded in operating expenses. In the fourth quarter of 2018, the Company recorded an impairment charge of $4.0 million driven by the Company’s decision to discontinue one of its acquired early research programs resulting in impairment of the acquired IPR&D asset.

Amortization expense was $140,000 and $152,000 for the three months ended March 31, 2019 and 2018, respectively. Based on finite-lived intangible assets recorded as of March 31, 2019, the estimated future amortization expense for the next five years is as follows (in thousands):

Year Ending December 31,	Estimated Amortization Expense
2019 (remaining nine months)	$	416
2020		555
2021		555
2022		555
2023		555
2024		555