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Supplemental Financial Statement Information
 9 Months Ended
Sep. 30, 2023
Payables and Accruals [Abstract]  
Supplemental Financial Statement Information Supplemental Financial Statement Information
As discussed in Note 1. Organization and Business, we deconsolidated UpHealth Holdings as of September 30, 2023; accordingly, the financial position of UpHealth Holdings as of December 31, 2022 and financial results of UpHealth Holdings in the three and nine months ended September 30, 2023 are included in our unaudited condensed consolidated financial statements and the financial position of UpHealth Holdings as of September 30, 2023 is not included in our unaudited condensed consolidated financial statements. The filing of a voluntary petition for relief under Chapter 11 of the U.S. Bankruptcy Code, as discussed in Note 1, Organization and Business, occurred on September 19, 2023. Management concluded that it would use the September 30, 2023 date for deconsolidation, as the last 12 days in the month were determined to not be material.
As also discussed in Note 1. Organization and Business, we deconsolidated Glocal as of July 1, 2022; accordingly, the financial results of Glocal in the six months ended June 30, 2022 are included in our unaudited condensed consolidated financial statements, and the financial position of Glocal as of September 30, 2023 and December 31, 2022 and the financial results of Glocal in the three months ended September 30, 2022 and the three and nine months ended September 30, 2023 are not included in our unaudited condensed consolidated financial statements.
Impairment of goodwill, intangible assets, and other long-lived assets consisted of the following:
Three Months Ended September 30,Nine Months Ended September 30,
(In thousands)2023202220232022
Impairment of goodwill$34,632 $89,149 $42,924 $94,643 
Impairment of intangible assets4,203 16,947 4,203 17,627 
Impairment of long-lived assets2,382 — 2,831 75 
Total impairment of goodwill, intangible assets, and other long-lived assets:$41,217 $106,096 $49,958 $112,345 
The impairment of goodwill in the nine months ended September 30, 2023 includes a goodwill impairment charge of $1.9 million related to our Pharmacy business, which was classified as held for sale as of December 21, 2022 and was sold in the second quarter of 2023.
Property and equipment consisted of the following: 
(In thousands)September 30, 2023December 31, 2022
Leasehold improvements$— $868 
Electrical and other equipment— 21 
Computer equipment, furniture and fixtures16,790 16,222 
Vehicles9 302 
Capitalized software development costs4,967 4,404 
Capitalized software development costs in progress1,469 2,590 
23,235 24,407 
Accumulated depreciation and amortization(13,007)(10,338)
Total property and equipment, net$10,228 $14,069 
Depreciation expense was $1.8 million and $1.8 million in the three months ended September 30, 2023 and 2022, respectively, and $5.0 million and $5.1 million in the nine months ended September 30, 2023 and 2022, respectively.
In the three and nine months ended September 30, 2023, we recorded impairment charges on long-lived assets of $2.4 million and $2.8 million, respectively, in the Integrated Care Management segment.
Accrued expenses consisted of the following:
(In thousands)September 30, 2023December 31, 2022
Accrued professional fees$4,733 $14,245 
Accrued products and licenses— 17,820 
Accrued interest on debt2,474 741 
Accrued payroll and bonuses3,763 5,163 
Income tax payable62 388 
Other accruals— 794 
Total accrued expenses$11,032 $39,151 
Other liabilities, noncurrent consisted of the following:
(In thousands)September 30, 2023December 31, 2022
Derivative liability, noncurrent$59 $56 
Warrant liabilities, noncurrent17 9 
Other liabilities, noncurrent71 662 
Total other liabilities, noncurrent$147 $727 
Other income, net, including interest income consisted of the following:
Three Months Ended September 30,Nine Months Ended September 30,
(In thousands)2023202220232022
Gain (loss) on fair value of warrant liabilities$— $— $(8)$190 
Other income, net, including interest income295 32 433 30 
Total other income, net, including interest income$295 $32 $425 $220