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Goodwill and Intangible Assets
 12 Months Ended
Dec. 31, 2025
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets

7. Goodwill and Intangible Assets:

 

The changes in the carrying amount of the Company's goodwill consist of the following (in thousands):

 

 

 

Goodwill Gross

 

 

Accumulated Impairment Losses

 

 

Goodwill Net

 

Balance at December 31, 2023

 

$

1,532,478

 

 

$

(148,312

)

 

$

1,384,166

 

Acquisitions

 

 

9,084

 

 

 

—

 

 

 

9,084

 

Impairment loss

 

 

—

 

 

 

(150,644

)

 

 

(150,644

)

Balance at December 31, 2024

 

 

1,541,562

 

 

 

(298,956

)

 

 

1,242,606

 

Acquisitions

 

 

18,126

 

 

 

—

 

 

 

18,126

 

Balance at December 31, 2025

 

$

1,559,688

 

 

$

(298,956

)

 

$

1,260,732

 

 

Goodwill is tested for impairment on at least an annual basis, in accordance with the subsequent measurement provisions of the accounting guidance for goodwill. Consistent with prior years, the Company performed its annual impairment test in the third quarter of 2025 and determined that goodwill was not impaired.

 

During the second quarter of 2024 and the fourth quarter of 2023, the Company experienced a triggering event, due to a sustained decline in its stock price and a market capitalization below the Company's book equity value.

As a result, the Company performed an interim goodwill impairment assessment. This assessment resulted in a non-cash impairment charge of $126.4 million and $125.0 million during 2024 and 2023, respectively, representing the amount by which the Company's book value exceeded its implied fair value, based on its market capitalization plus an estimated control premium. Recognition of this non-cash charge against goodwill resulted in a tax benefit which generated an additional deferred tax asset and incremental non-cash impairment charge of $24.2 million and $23.3 million during 2024 and 2023, respectively. The total non-cash impairment charge was $150.6 million and $148.3 million for the years ended December 31, 2024 and 2023, respectively. A 1% change in the control premium used would have impacted the non-cash impairment charge by approximately $7.7 million and $9.0 million during 2024 and 2023, respectively.

 

Intangible assets, net, consist of the following (in thousands):

 

 

 

December 31, 2025

 

 

 

Gross Carrying Value

 

 

Accumulated Amortization

 

 

Net Carrying Value

 

Physician and hospital agreements

 

$

60,232

 

 

$

(50,813

)

 

$

9,419

 

Other technology

 

 

14,466

 

 

 

(7,023

)

 

 

7,443

 

 

$

74,698

 

 

$

(57,836

)

 

$

16,862

 

 

 

 

December 31, 2024

 

 

 

Gross Carrying Value

 

 

Accumulated Amortization

 

 

Net Carrying Value

 

Physician and hospital agreements

 

$

66,190

 

 

$

(61,606

)

 

$

4,584

 

Other technology

 

 

9,603

 

 

 

(2,592

)

 

 

7,011

 

 

$

75,793

 

 

$

(64,198

)

 

$

11,595

 

 

 

Amortization expense for intangible assets was $5.7 million, $7.1 million and $5.6 million for the years ended December 31, 2025, 2024 and 2023, respectively. During the year ended December 31, 2025, the Company recorded intangible assets related to acquisitions totaling $6.1 million, consisting of physician and hospital agreements. The weighted-average amortization period for the acquired intangible assets is approximately 14 years.

Amortization expense for existing intangible assets for the next five years is expected to be as follows (in thousands):

 

 2026

 

$

6,433

 

 2027

 

 

2,718

 

 2028

 

 

1,774

 

 2029

 

 

914

 

 2030

 

 

811