Annual report pursuant to Section 13 and 15(d)

Acquisitions, Goodwill and Other Intangible Assets

v3.22.4
Acquisitions, Goodwill and Other Intangible Assets
 12 Months Ended
Dec. 31, 2022
Business Combination and Asset Acquisition [Abstract]  
Acquisitions, Goodwill and Other Intangible Assets
6.    Acquisitions, Goodwill and Other Intangible Assets
The goodwill recorded as part of the acquisitions primarily arose from the acquired assembled workforce and brokerage and financing sales platforms. The Company expects all of the goodwill to be tax deductible, with the tax-deductible amount of goodwill related to the contingent and deferred consideration to be determined once the cash payments are made to settle any contingent and deferred consideration. The goodwill resulting from acquisitions is allocated to the Company’s one reporting unit.
Goodwill and intangible assets, net consisted of the following (in thousands):
December 31, 2022 December 31, 2021
Gross
Carrying
Amount
Accumulated
Amortization
 Net Book
Value		 Gross
Carrying
Amount		 Accumulated
Amortization		 Net Book
Value
Goodwill and intangible assets:
Goodwill $ 37,914  $ —  $ 37,914  $ 34,071  $ —  $ 34,071 
Intangible assets (1)(2)
32,287  (14,505) 17,782  23,974  (9,940) 14,034 
$ 70,201  $ (14,505) $ 55,696  $ 58,045  $ (9,940) $ 48,105 
(1)Total weighted average amortization period was 4.54 years and 5.53 years as of December 31, 2022 and 2021, respectively.
(2)Amortization expense for the intangible assets was $4.7 million and $3.8 million for the years ended December 31, 2022 and 2021, respectively.
The changes in the carrying amount of goodwill consisted of the following (in thousands):
Years Ended
December 31,
2022 2021
Beginning balance $ 34,071  $ 33,375 
Additions from acquisitions (1)
3,843  696 
Ending balance $ 37,914  $ 34,071 
(1)The 2021 addition represents a measurement period adjustment for an acquisition made in 2020.
Estimated amortization expense for intangible assets by year for the next five years and thereafter consisted of the following (in thousands):
Year Ended
December 31,
2023 $ 4,599 
2024 4,089 
2025 3,871 
2026 2,156 
2027 1,736 
Thereafter 1,331 
$ 17,782 
The Company concluded there was no impairment of goodwill or intangible assets during the years ended December 31, 2022 and 2021.