Quarterly report pursuant to Section 13 or 15(d)

Goodwill and Intangible Assets

v2.4.0.8
Goodwill and Intangible Assets
6 Months Ended
Mar. 31, 2014
Goodwill and Intangible Assets  
Goodwill and Intangible Assets

5. Goodwill and Intangible Assets

 

The changes in goodwill for the six months ended March 31, 2014 are as follows (in thousands):

 

 

 

Health Services

 

Human Services

 

Total

 

Balance as of September 30, 2013

 

$

125,096

 

$

46,771

 

$

171,867

 

Changes to allocation of HML purchase price

 

31

 

 

31

 

Foreign currency translation

 

1,393

 

(100

)

1,293

 

Balance as of March 31, 2014

 

$

126,520

 

$

46,671

 

$

173,191

 

 

The following table sets forth the components of intangible assets (in thousands):

 

 

 

As of March 31, 2014

 

As of September 30, 2013

 

 

 

Cost

 

Accumulated
Amortization

 

Intangible
Assets, net

 

Cost

 

Accumulated
Amortization

 

Intangible
Assets, net

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Customer contracts and relationships

 

$

43,130

 

$

5,766

 

$

37,364

 

$

39,243

 

$

3,953

 

$

35,290

 

Technology based intangible assets

 

9,343

 

6,415

 

2,928

 

9,583

 

5,974

 

3,609

 

Trademarks and trade names

 

4,378

 

1,696

 

2,682

 

4,421

 

1,303

 

3,118

 

Non-compete arrangements

 

 

 

 

243

 

221

 

22

 

Total

 

$

56,851

 

$

13,877

 

$

42,974

 

$

53,490

 

$

11,451

 

$

42,039

 

 

The Company’s intangible assets have a weighted average remaining life of 11.9 years, comprising 13.2 years for customer contracts and relationships, 3.6 years for technology-based intangible assets and 3.4 years for the trademarks and trade names. Amortization expense for the six months ended March 31, 2014 and 2013 was $2.8 million and $2.3 million, respectively. Estimated future amortization expense is as follows (in thousands):

 

Six months ended September 30, 2014

 

$

3,046

 

Year ended September 30, 2015

 

5,968

 

Year ended September 30, 2016

 

5,692

 

Year ended September 30, 2017

 

5,293

 

Year ended September 30, 2018

 

4,052

 

Year ended September 30, 2019

 

3,070