v3.26.1
Goodwill and Intangible Assets
6 Months Ended
Jun. 30, 2026
Intangible Asset, Goodwill and Other [Abstract]  
Goodwill and Intangible Assets

8. GOODWILL AND INTANGIBLE ASSETS

The Company tests each of its reporting units for goodwill impairment annually on October 1, or upon a triggering event, in accordance with ASC Topic 350, “Intangibles –Goodwill and Other.” Effective in the first quarter of 2026, the Company reorganized its business into two reportable segments as discussed in Note 19 – Segment Information. This changed the composition of the Company's reporting units which resulted in the combination of historical goodwill from the Assessment, Permitting and Response and Remediation and Reuse segments to its newly created Consulting and Treatment segment. Additionally, the change in composition of the Company's reporting units was considered a triggering event requiring an interim goodwill impairment test as of March 31, 2026. The Company determined that no impairment existed as the estimated fair values of its reporting units were in excess of their respective carrying values, both before and after the reorganization. Amounts related to goodwill are as follows:

 

 

Consulting and Treatment

 

 

Measurement and Analysis

 

 

Total

 

Balance as of December 31, 2025

 

$

347,706

 

 

$

119,080

 

 

$

466,786

 

Foreign currency translation adjustments

 

 

(508

)

 

 

(500

)

 

 

(1,008

)

Balance as of June 30, 2026

 

$

347,198

 

 

$

118,580

 

 

$

465,778

 

 

Amounts related to finite-lived intangible assets are as follows:

June 30, 2026

 

Gross Balance

 

 

Accumulated Amortization

 

 

Total Intangible Assets—Net

 

Customer relationships

 

$

264,071

 

 

$

170,165

 

 

$

93,906

 

Covenants not to compete

 

 

41,370

 

 

 

37,334

 

 

 

4,036

 

Trade names

 

 

25,938

 

 

 

25,839

 

 

 

99

 

Proprietary software

 

 

32,594

 

 

 

27,086

 

 

 

5,508

 

Patent

 

 

17,479

 

 

 

7,421

 

 

 

10,058

 

Total other intangible assets, net

 

$

381,452

 

 

$

267,845

 

 

$

113,607

 

 

 

 

 

 

 

 

 

 

 

December 31, 2025

 

Gross Balance

 

 

Accumulated Amortization

 

 

Total Intangible Assets—Net

 

Customer relationships

 

$

264,564

 

 

$

160,459

 

 

$

104,105

 

Covenants not to compete

 

 

41,418

 

 

 

36,293

 

 

 

5,125

 

Trade names

 

 

25,917

 

 

 

25,441

 

 

 

476

 

Proprietary software

 

 

31,982

 

 

 

25,912

 

 

 

6,070

 

Patent

 

 

17,479

 

 

 

6,872

 

 

 

10,607

 

Total other intangible assets, net

 

$

381,360

 

 

$

254,977

 

 

$

126,383

 

Intangible assets with finite lives are stated at cost, less accumulated amortization and impairment losses, if any. These intangible assets are amortized using the straight-line method over the estimated useful lives of the assets.

Amortization expense was $6.7 million and $13.3 million for the three and six months ended June 30, 2026, respectively, and $7.3 million and $15.7 million for the three and six months ended June 30, 2025, respectively.

Future amortization expense is estimated to be as follows for each of the five following years and thereafter:

December 31,

 

 

 

2026 (remaining)

 

$

12,539

 

2027

 

 

24,687

 

2028

 

 

18,993

 

2029

 

 

12,582

 

2030

 

 

9,006

 

Thereafter

 

 

35,800

 

Total

 

$

113,607