Goodwill and Intangible Assets

9 Months Ended

Sep. 30, 2024

Goodwill and Intangible Assets Disclosure [Abstract]

6. Goodwill and Intangible Assets

A summary of the goodwill and related adjustments is provided below:


	Hospice		Personal Care		Home Health		Total
	(Amounts in Thousands)
Goodwill as of December 31, 2023	$	432,799	$	153,276	$	76,920	$	662,995
Additions for acquisitions		—		400		—		400
Adjustments to previously recorded goodwill		41		—		178		219
Goodwill as of September 30, 2024	$	432,840	$	153,676	$	77,098	$	663,614

On March 9, 2024, the Company completed its acquisition of the operations of Upstate Home Care Solutions (“Upstate”) for $0.4 million. With the purchase of Upstate, the Company expanded its personal care services segment in South Carolina. In connection with the Upstate acquisition, the Company recognized goodwill in its personal care segment of $0.4 million during the nine months ended September 30, 2024.

The Company’s identifiable intangible assets consist of customer and referral relationships, trade names and trademarks, non-competition agreements and state licenses. Amortization is computed using straight-line and accelerated methods based upon the estimated useful lives of the respective assets, which range from one to twenty years. Customer and referral relationships are amortized systematically over the periods of expected economic benefit, which range from five to ten years.

The carrying amount and accumulated amortization of each identifiable intangible asset category consisted of the following:


		September 30, 2024							December 31, 2023
		(Amounts in Thousands)							(Amounts in Thousands)
	Estimated Useful Life	Gross carrying value		Accumulated amortization			Net carrying value		Gross carrying value		Accumulated amortization			Net carrying value
Customer and referral relationships	5-10 years	$	44,672	$	(40,588	)	$	4,084	$	44,672	$	(39,566	)	$	5,106
Trade names and trademarks	1-20 years		59,566		(26,112	)		33,454		59,566		(23,857	)		35,709
Non-competition agreement	3-5 years		6,785		(6,213	)		572		6,785		(5,601	)		1,184
State Licenses	6-10 years		12,671		(10,503	)		2,168		12,671		(9,015	)		3,656
State Licenses	Indefinite		46,328		—			46,328		46,328		—			46,328
Total intangible assets		$	170,022	$	(83,416	)	$	86,606	$	170,022	$	(78,039	)	$	91,983

Amortization expense related to the intangible assets was $1.8 million and $5.4 million for the three and nine months ended September 30, 2024, respectively, and $1.8 million and $5.3 million for the three and nine months ended September 30, 2023, respectively. The weighted average remaining useful lives of identifiable intangible assets as of September 30, 2024 was 10.0 years.