9. Goodwill and Intangibles

Intangibles

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Intangible assets as of March 31, 2026 and December 31, 2025 were comprised of the following items:

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Amortization expense for the Company’s intangibles was $2.7 million and $0.2 million during the three months ended March 31, 2026 and 2025, respectively. Amortization expense is recorded in operating expenses on the unaudited condensed consolidated statements of net loss and comprehensive loss.

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The Company estimates that amortization expenses will be $14.8 million per year for the next five fiscal years.

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Goodwill

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The following table shows the change in the carrying amount of goodwill:

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During the three months ended March 31, 2026, the Company recorded goodwill in connection with acquisitions completed during the period. Goodwill represents the excess of the purchase price over the estimated fair value of the identifiable net assets acquired and primarily reflects expected synergies, assembled workforce, and other intangible benefits that do not qualify for separate recognition.

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The Company evaluates goodwill for impairment at least annually, or more frequently if events or changes in circumstances indicate that goodwill may be impaired. For the year ended December 31, 2025, the Company performed a qualitative assessment and concluded that it was more likely than not that the fair value of its reporting units exceeded their respective carrying amounts. Accordingly, the Company determined that it was not necessary to perform a quantitative goodwill impairment test, and no impairment was recognized during the period.