Goodwill and Other Intangible Assets (Tables)
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6 Months Ended |
Jun. 30, 2020 |
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| Goodwill and Intangible Assets Disclosure [Abstract] |
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| Summary of Changes in Goodwill |
A summary of changes in Quanta’s goodwill is as follows (in thousands):
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Electric Power Infrastructure Services
Division
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Pipeline and Industrial Infrastructure Services
Division
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Total |
Balance at December 31, 2018: |
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|
Goodwill |
|
$ |
1,313,078 |
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|
$ |
683,284 |
|
|
$ |
1,996,362 |
|
Accumulated impairment |
|
— |
|
|
(96,483 |
) |
|
(96,483 |
) |
|
|
1,313,078 |
|
586,801 |
|
1,899,879 |
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|
|
|
|
|
|
Goodwill related to acquisitions completed in 2019 |
|
43,183 |
|
|
67,200 |
|
|
110,383 |
|
Purchase price allocation adjustments |
|
1,503 |
|
|
— |
|
|
1,503 |
|
Foreign currency translation adjustments |
|
7,399 |
|
|
3,511 |
|
|
10,910 |
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|
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|
|
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Balance at December 31, 2019: |
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Goodwill |
|
1,365,163 |
|
|
753,938 |
|
|
2,119,101 |
|
Accumulated impairment |
|
— |
|
|
(96,426 |
) |
|
(96,426 |
) |
|
|
1,365,163 |
|
|
657,512 |
|
|
2,022,675 |
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|
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Goodwill related to acquisitions completed in 2020 |
|
3,768 |
|
|
6,301 |
|
|
10,069 |
|
Purchase price allocation adjustments |
|
1,771 |
|
|
19 |
|
|
1,790 |
|
Foreign currency translation adjustments |
|
(7,532 |
) |
|
(4,007 |
) |
|
(11,539 |
) |
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|
|
|
|
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Balance at June 30, 2020: |
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|
|
|
|
Goodwill |
|
1,363,170 |
|
|
756,046 |
|
|
2,119,216 |
|
Accumulated impairment |
|
— |
|
|
(96,221 |
) |
|
(96,221 |
) |
|
|
$ |
1,363,170 |
|
|
$ |
659,825 |
|
|
$ |
2,022,995 |
|
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| Other Intangible Assets |
Quanta’s intangible assets and the remaining weighted average amortization periods related to its intangible assets subject to amortization were as follows (in thousands except for weighted average amortization periods, which are in years):
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As of |
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As of |
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June 30, 2020 |
|
December 31, 2019 |
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|
Remaining Weighted Average Amortization Period in Years |
|
Intangible
Assets
|
|
Accumulated
Amortization
|
|
Intangible
Assets, Net
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Intangible
Assets
|
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Accumulated
Amortization
|
|
Intangible
Assets, Net
|
Customer relationships |
|
6.0 |
|
$ |
531,823 |
|
|
$ |
(240,578 |
) |
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$ |
291,245 |
|
|
$ |
532,808 |
|
|
$ |
(213,915 |
) |
|
$ |
318,893 |
|
Backlog |
|
2.3 |
|
143,615 |
|
|
(141,212 |
) |
|
2,403 |
|
|
144,704 |
|
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(141,580 |
) |
|
3,124 |
|
Trade names |
|
14.3 |
|
93,007 |
|
|
(29,087 |
) |
|
63,920 |
|
|
93,396 |
|
|
(26,145 |
) |
|
67,251 |
|
Non-compete agreements |
|
3.0 |
|
43,718 |
|
|
(34,446 |
) |
|
9,272 |
|
|
43,281 |
|
|
(32,868 |
) |
|
10,413 |
|
Patented rights and developed technology |
|
2.3 |
|
22,440 |
|
|
(21,173 |
) |
|
1,267 |
|
|
22,719 |
|
|
(20,682 |
) |
|
2,037 |
|
Curriculum |
|
7.9 |
|
11,712 |
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(2,510 |
) |
|
9,202 |
|
|
11,712 |
|
|
(2,696 |
) |
|
9,016 |
|
Total intangible assets subject to amortization |
|
7.3 |
|
846,315 |
|
|
(469,006 |
) |
|
377,309 |
|
|
848,620 |
|
|
(437,886 |
) |
|
410,734 |
|
Engineering license |
|
|
|
3,000 |
|
|
— |
|
|
3,000 |
|
|
3,000 |
|
|
— |
|
|
3,000 |
|
Total intangible assets |
|
|
|
$ |
849,315 |
|
|
$ |
(469,006 |
) |
|
$ |
380,309 |
|
|
$ |
851,620 |
|
|
$ |
(437,886 |
) |
|
$ |
413,734 |
|
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| Estimated Future Aggregate Amortization Expense of Intangible Assets |
The estimated future aggregate amortization expense of intangible assets subject to amortization as of June 30, 2020 is set forth below (in thousands):
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Year Ending December 31: |
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Remainder of 2020 |
|
$ |
35,354 |
|
2021 |
|
68,450 |
|
2022 |
|
63,434 |
|
2023 |
|
54,714 |
|
2024 |
|
41,758 |
|
Thereafter |
|
113,599 |
|
Total |
|
$ |
377,309 |
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