Quarterly report pursuant to Section 13 or 15(d)

GOODWILL & INTANGIBLE ASSETS

v3.22.1
GOODWILL & INTANGIBLE ASSETS
3 Months Ended
Mar. 31, 2022
GOODWILL & INTANGIBLE ASSETS  
GOODWILL & INTANGIBLE ASSETS

11. GOODWILL & INTANGIBLE ASSETS

The carrying amount of goodwill at March 31, 2022 and December 31, 2021 was $630.0 million and $639.3 million respectively, and has been recorded in connection with the Company’s acquisitions. The goodwill activity is as follows (in thousands):

Goodwill

Balance at December 31, 2020

$

2,252

Acquisition of EnvisionTEC

195,688

Acquisition of Adaptive3D

35,113

Acquisition of Aerosint

14,581

Acquisition of Dental Arts Labs

8,839

Acquisition of A.I.D.R.O.

3,515

Acquisition of Brewer Dental

2,463

Acquisition of May Dental

6,782

Acquisition of ExOne

374,636

Foreign currency translation adjustment

(4,568)

Balance at December 31, 2021

$

639,301

May Dental working capital adjustment

23

Foreign currency translation adjustment

(9,302)

Balance at March 31, 2022

$

630,022

The Company has no accumulated impairment losses on goodwill.

Intangible assets consisted of the following (in thousands):

March 31, 2022

 

December 31, 2021

Weighted Average

Gross

Net

Gross

Net

Remaining Useful

Carrying

Accumulated

Carrying

Carrying

Accumulated

Carrying

Lives (in years)

Amount

Amortization

Amount

 

Amount

Amortization

Amount

Acquired technology

9.0

$

197,828

$

17,833

$

179,995

 

$

198,631

$

11,421

$

187,210

Trade name

10.7

12,469

1,106

11,363

12,475

684

11,791

Customer relationships

10.5

68,673

9,156

59,517

69,127

6,296

62,831

Capitalized software

1.3

518

393

125

518

366

152

Total intangible assets

$

279,488

$

28,488

$

251,000

$

280,751

$

18,767

$

261,984

The Company recognized $9.8 million of amortization expense during the three months ended March 31, 2022. The Company recognized $2.3 million of amortization expense during the three months ended March 31, 2021.

Statement of

Amortization

Amortization

Operations

Expense

Expense

Category

Line Item

March 31, 2022

March 31, 2021

Acquired technology

Cost of Sales

$

5,990

$

1,091

Acquired technology

Research and Development

443

506

Trade name

General and Administrative

422

80

Customer relationships

Sales and Marketing

2,902

621

Capitalized software

Research and Development

27

45

$

9,784

$

2,343

The Company expects to recognize the following amortization expense (in thousands):

Amortization Expense

2022 (remaining 9 months)

$

29,340

2023

42,010

2024

42,072

2025

39,562

2026

29,707

2027 and after

68,309

Total intangible amortization

$

251,000