Quarterly report pursuant to Section 13 or 15(d)

Goodwill and intangible assets

v2.4.0.8
Goodwill and intangible assets
9 Months Ended
Jun. 30, 2014
Goodwill and intangible assets  
Goodwill and intangible assets

6. Goodwill and intangible assets

 

The changes in goodwill for the nine months ended June 30, 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

 

3,213 

 

360 

 

3,573 

 

Balance as of June 30, 2014

 

$

128,340 

 

$

47,131 

 

$

175,471 

 

 

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

 

 

 

As of June 30, 2014

 

As of September 30, 2013

 

 

 

Cost

 

Accumulated
Amortization

 

Intangible
Assets, net

 

Cost

 

Accumulated
Amortization

 

Intangible
Assets, net

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Customer contracts and relationships

 

$

43,782 

 

$

6,888 

 

$

36,894 

 

$

39,243 

 

$

3,953 

 

$

35,290 

 

Technology based intangible assets

 

9,490 

 

6,757 

 

2,733 

 

9,583 

 

5,974 

 

3,609 

 

Trademarks and trade names

 

4,400 

 

1,910 

 

2,490 

 

4,421 

 

1,303 

 

3,118 

 

Non-compete arrangements

 

 

 

 

243 

 

221 

 

22 

 

Total

 

$

57,672 

 

$

15,555 

 

$

42,117 

 

$

53,490 

 

$

11,451 

 

$

42,039 

 

 

The Company’s intangible assets have a weighted average remaining life of 11.9 years, comprising 13.1 years for customer contracts and relationships, 3.4 years for technology-based intangible assets and 3.2 years for the trademarks and trade names. Amortization expense for the nine months ended June 30, 2014 and 2013 was $4.4 million and $3.5 million, respectively. Estimated future amortization expense is as follows (in thousands):

 

Three months ended September 30, 2014

 

$

1,543 

 

Year ended September 30, 2015

 

6,033 

 

Year ended September 30, 2016

 

5,759 

 

Year ended September 30, 2017

 

5,360 

 

Year ended September 30, 2018

 

4,099 

 

Year ended September 30, 2019

 

3,101