Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

3. GOODWILL AND INTANGIBLE ASSETS

Goodwill. The changes in the carrying amount of goodwill for the six months ended June 30, 2024 were as follows (in thousands):


January 1, 2024, balance	$	308,596
Effects of changes in foreign currency exchange rates		(1,705	)
Goodwill acquired during the period		10,238
June 30, 2024, balance	$	317,129

Goodwill acquired during the period relates to the acquisitions discussed in Note 5.

Other Intangible Assets. Our other intangible assets subject to ongoing amortization consist of acquired customer contracts and software. As of June 30, 2024 and December 31, 2023, the carrying values of these assets were as follows (in thousands):


	June 30, 2024							December 31, 2023
	Gross Carrying Amount		Accumulated Amortization			Net Amount		Gross Carrying Amount		Accumulated Amortization			Net Amount
Acquired customer contracts	$	175,685	$	(128,867	)	$	46,818	$	162,348	$	(126,469	)	$	35,879
Software		185,777		(164,369	)		21,408		171,825		(157,601	)		14,224
Total other intangible assets	$	361,462	$	(293,236	)	$	68,226	$	334,173	$	(284,070	)	$	50,103

Acquired customer contracts as of June 30, 2024 include the assets acquired as part of the acquisitions discussed in Note 5.

The total amortization expense related to other intangible assets for the second quarters of 2024 and 2023 were $6.3 million and $6.4 million, respectively, and for the six months ended June 30, 2024 and 2023 were $11.7 million and $13.0 million, respectively. Based on the June 30, 2024 net carrying value of our intangible assets, the estimated total amortization expense for each of the five succeeding fiscal years ending December 31 are: 2024 - $24.5 million; 2025 - $19.8 million; 2026 - $14.2 million; 2027 - $6.5 million; and 2028 - $4.3 million.

Customer Contract Costs. As of June 30, 2024 and December 31, 2023, the carrying values of our customer contract cost assets, related to those contracts with a contractual term greater than one year, were as follows (in thousands):


	June 30, 2024							December 31, 2023
	Gross Carrying Amount		Accumulated Amortization			Net Amount		Gross Carrying Amount		Accumulated Amortization			Net Amount
Customer contract costs	$	101,268	$	(44,140	)	$	57,128	$	96,515	$	(42,094	)	$	54,421

The total amortization expense related to customer contract costs for the second quarters of 2024 and 2023 were $5.7 million and $4.8 million, respectively, and for the six months ended June 30, 2024 and 2023 were $10.7 million and $9.4 million, respectively.