Other assets (Tables)

9 Months Ended

Sep. 30, 2022

Other Assets Abstract

Other Assets by Major Categories

(In thousands)	September 30, 2022		December 31, 2021
Net deferred tax assets (net of valuation allowance)	$	907,419	$	657,597
Investments under the equity method		203,172		298,988
Prepaid taxes		46,818		37,924
Other prepaid expenses		42,682		34,937
Capitalized software costs		82,246		44,908
Derivative assets		16,653		26,093
Trades receivable from brokers and counterparties		13,203		65,460
Principal, interest and escrow servicing advances		44,144		53,942
Guaranteed mortgage loan claims receivable		77,618		98,001
Operating ROU assets (Note 28)		119,471		141,748
Finance ROU assets (Note 28)		18,705		13,459
Others		128,247		155,514
Total other assets	$	1,700,378	$	1,628,571

Composition of acquired or developed software costs

The following table summarizes the composition of acquired or developed software costs as well as costs related to hosting arrangements:

		Gross Carrying			Accumulated		Net Carrying
(In thousands)			Amount		Amortization		Value
September 30, 2022
	Software development costs [1]	$	74,845	$	24,562	$	50,283
	Software license costs		201,314		180,212		21,102
	Cloud computing arrangements		22,661		11,800		10,861
Total Capitalized software costs		$	298,820	$	216,574	$	82,246
December 31, 2021
	Software development costs	$	40,033	$	18,972	$	21,061
	Software license costs		168,862		154,571		14,291
	Cloud computing arrangements		18,346		8,790		9,556
Total Capitalized software costs		$	227,241	$	182,333	$	44,908
[1]	Software development costs includes $28.7 million acquired as part of the Evertec Transactions.

Amortization expense for all capitalized software and hosting arrangement cost

Total amortization expense for all capitalized software and hosting arrangement cost, reflected as part of equipment expenses, is as follows:

	Quarters ended September 30,				Nine months ended September 30,
(In thousands)	2022		2021		2022		2021
Software development and license costs	$	14,589	$	11,741	$	39,357	$	33,429
Cloud computing arrangements		983		887		3,010		2,818
Total amortization expense	$	15,572	$	12,628	$	42,367	$	36,247