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Goodwill and Intangible Assets, net
 9 Months Ended
Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets, net Goodwill and Intangible Assets, net
Goodwill

The changes in the carrying value of goodwill for the nine months ended September 30, 2024 is as follows (in thousands):

December 31, 2023$125,818 
Foreign currency translation impact
(363)
September 30, 2024$125,455 
Intangible Assets, Net

The gross carrying amount and accumulated amortization of the Company’s intangible assets, net, as of September 30, 2024 were as follows:
(in thousands)Gross
Carrying
Value		Accumulated
Amortization		Net Carrying
Value		Estimated
Useful Life
(Years)
Developed technology$91,629 $(72,658)$18,971 
3 - 10
Capitalized software22,178 (7,000)15,178 
3 - 5
Customer relationships18,566 (13,767)4,799 
5 - 10
Trademarks11,624 (5,982)5,642 15
Non-compete agreement5,871 (2,408)3,463 3
Patents3,629 (703)2,926 
3 - 19
Total intangible assets$153,497 $(102,518)$50,979 
The gross carrying amount and accumulated amortization of the Company’s intangible assets, net, as of December 31, 2023 were as follows:
(in thousands)Gross
Carrying
Value		Accumulated
Amortization		Net Carrying
Value		Estimated
Useful Life
(Years)
Developed technology$91,629 $(64,453)$27,176
3 - 10
Capitalized software18,423 (4,078)14,345 
3 - 5
Customer relationships18,809 (11,317)7,492 
5 - 10
Trademarks11,521 (5,367)6,154 15
Non-compete agreement5,878 (1,530)4,348 3
Patents3,132 (524)2,608 
3 - 19
Total intangible assets$149,392 $(87,269)$62,123 

Acquisition of Esthetic Medical, Inc. and Anacapa Aesthetics LLC
In February 2023, Edge Systems Intermediate, LLC, an indirect, wholly-owned subsidiary of the Company, acquired all of the outstanding shares of Esthetic Medical, Inc. (“EMI”) in exchange for (i) a cash payment of $11.8 million and (ii) 109,625 shares of Class A Common Stock of the Company ($1.3 million). In addition, Dr. Lawrence Groop (the “Seller”) is entitled to receive up to an additional $3.2 million in contingent consideration based upon the achievement of certain conditions defined in the purchase agreement, of which $1.9 million was considered probable as of the acquisition date. Applicable tax guidance was used to apply the simultaneous equation method to incrementally assign $4.6 million to the book value of the intangible asset in excess of the purchase price. The Company accounted for this transaction as an asset acquisition and allocated substantially all of the purchase price and the tax basis difference totaling $19.9 million to intangible assets, primarily related to developed technology.

In July 2023, EMI obtained clearance from the U.S. Food and Drug Administration that the SkinStylus Sterilock MicroSystem is cleared for use as a treatment to improve the appearance of facial acne scars in Fitzpatrick skin types I, II, and III in adults aged 22 years and older (the “Facial Indication Approval”). Obtaining the Facial Indication Approval triggered a $1.3 million contingent payment made in July 2023 by the Company to the Seller, which was previously not considered probable of payment.
In March 2023, the Company acquired assets from Anacapa Aesthetics LLC and recognized approximately $5 million of intangible assets, primarily related to non-compete agreements