The Company completed the annual goodwill impairment testing in the fourth quarter of 2025 and 2024 and determined that no adjustments to the carrying value of goodwill were necessary. The Company performs its goodwill impairment test at the reporting unit level, which is the same as or one level below the operating segment level. The Company has one operating and reportable segment, and for the years ended December 31, 2025, 2024 and 2023, the Company had one reporting unit for goodwill impairment testing purposes. For the impairment testing in the fourth quarter of 2025, the Company assessed the reporting unit using qualitative factors to determine whether it was more likely than not that the reporting unit’s fair value is less than its carrying value (step 0) and

determined that no further testing was required. For the impairment testing in the fourth quarter of 2024, the Company elected to bypass the qualitative assessment and performed a quantitative goodwill impairment test (Step 1), as permitted under ASC 350, which also indicated that the fair value of the reporting unit exceeded its carrying amount, and no impairment charge was recognized.

The Company continuously monitors and evaluates relevant events and circumstances that could unfavorably impact our significant assumptions used in testing goodwill, including changes to U.S. treasury rates and equity risk premiums, tax rates, recent market valuations from transactions by comparable companies, volatility in the Company’s market capitalization, and general industry, market, and macro-economic conditions. It is possible that future changes in such circumstances, or in the inputs and assumptions used in estimating the fair value of our reporting units, could require the Company to record a non-cash impairment charge. The Company recorded no impairment losses during the years ended December 31, 2025, 2024 and 2023.

The table below summarizes the changes in the Company’s goodwill balances:


	Total Goodwill
	(in thousands)
Balance at January 1, 2024	$	217,274
Acquisitions		7,872
Impairments		—
Balance at December 31, 2024		225,146
Acquisitions		127,367
Impairments		—
Balance at December 31, 2025	$	352,513

The table below summarizes the carrying amounts of the Company’s identifiable intangible assets:


			As of December 31,
			2025							2024
	Weighted Average Amortization Period		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
	(in years)		(in thousands)							(in thousands)
Patents (9 years)		9.0	$	2,722	$	(1,076	)	$	1,646	$	2,722	$	(774	)	$	1,948
Know-How (7.0 - 15.0 years)		10.5		15,686		(1,841	)		13,845		2,286		(585	)		1,701
Customer Backlogs (0.8 - 7.5 years)		2.3		47,750		(39,782	)		7,968		38,750		(35,302	)		3,448
Customer Relationships (10 - 19 years)		16.6		333,300		(70,871	)		262,429		255,600		(53,745	)		201,855
Total Intangible Assets			$	399,458	$	(113,570	)	$	285,888	$	299,358	$	(90,406	)	$	208,952

Amortization expense amounted to $23.2 million, $16.9 million, and $14.4 million for the years ended December 31, 2025, 2024 and 2023, respectively. In total, the intangible assets acquired subject to amortization have a weighted average useful life of 14.6 years. The table below summarizes the annual amortization expense of the Company for the next five years: