Intangible Assets

3 Months Ended

Mar. 31, 2023

Goodwill And Intangible Assets Disclosure [Abstract]

Intangible Assets

Note 6. Intangible Assets

The components of intangible assets were as follows:

	As of March 31, 2023							As of December 31, 2022
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Finite-lived intangible assets:
Customer relationships 1,2	$	4,292	$	(2,113	)	$	2,179	$	4,292	$	(2,028	)	$	2,264
Acquired technology 1,3,4		13,900		(4,234	)		9,666		13,900		(4,042	)		9,858
Acquired trademarks 1		570		(570	)		—		570		(570	)		—
	$	18,762	$	(6,917	)	$	11,845	$	18,762	$	(6,640	)	$	12,122

1.Certain intangible assets were established upon PDL BioPharma, Inc.’s acquisition of LENSAR in May 2017. They are being amortized on a straight-line basis over a period of 15 years. The intangible assets for customer relationships are amortized on a straight-line basis or a double declining basis over their estimated useful lives up to 20 years based on the method that better represents the economic benefits to be obtained.

2.LENSAR acquired certain intangible assets for customer relationships from a domestic distributor in an asset acquisition, which are being amortized on a straight-line basis over a period of 10 years.

3.LENSAR acquired certain intangible assets from a medical technology company in an asset acquisition, which are being amortized on a straight-line basis over a period of 15 years.

4.In 2019, LENSAR acquired certain intellectual property from a third party. Pursuant to the Company's agreement with the third party, the Company made milestone payments of $2,400 during the year ended December 31, 2022. The intangible assets will be amortized on a straight-line basis over a period of 15 years.

Amortization expense for three months ended March 31, 2023 and 2022 was $276 and $309, respectively.

Based on the intangible assets recorded at March 31, 2023, and assuming no subsequent additions to or impairment of the underlying assets, the remaining amortization expense is expected to be as follows:

Fiscal Year	Amount
Remainder of 2023		821
2024		1,165
2025		1,234
2026		1,224
2027		1,215
2028		1,008
Thereafter		5,178
Total remaining estimated amortization expense	$	11,845