Quarterly report pursuant to Section 13 or 15(d)

Goodwill and Other Intangible Assets (Tables)

v3.20.2
Goodwill and Other Intangible Assets (Tables)
6 Months Ended
Jun. 30, 2020
Goodwill and Intangible Assets Disclosure [Abstract]  
Summary of Changes in Goodwill
A summary of changes in Quanta’s goodwill is as follows (in thousands):
 
 
Electric Power Infrastructure Services
Division
 
Pipeline and Industrial Infrastructure Services
Division
 
Total
Balance at December 31, 2018:
 
 
 
 
 
 
Goodwill
 
$
1,313,078

 
$
683,284

 
$
1,996,362

Accumulated impairment
 

 
(96,483
)
 
(96,483
)
 
 
1,313,078
 
586,801
 
1,899,879
 
 
 
 
 
 
 
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

 
 
 
 
 
 
 
Balance at December 31, 2019:
 
 
 
 
 
 
Goodwill
 
1,365,163

 
753,938

 
2,119,101

Accumulated impairment
 

 
(96,426
)
 
(96,426
)
 
 
1,365,163

 
657,512

 
2,022,675

 
 
 
 
 
 
 
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
)
 
 
 
 
 
 
 
Balance at June 30, 2020:
 
 
 
 
 
 
Goodwill
 
1,363,170

 
756,046

 
2,119,216

Accumulated impairment
 

 
(96,221
)
 
(96,221
)
 
 
$
1,363,170

 
$
659,825

 
$
2,022,995




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):
 
 
As of
 
As of
 
 
June 30, 2020
 
December 31, 2019
 
 
Remaining Weighted Average Amortization Period in Years
 
Intangible
Assets
 
Accumulated
Amortization
 
Intangible
Assets, Net
 
Intangible
Assets
 
Accumulated
Amortization
 
Intangible
Assets, Net
Customer relationships
 
6.0
 
$
531,823

 
$
(240,578
)
 
$
291,245

 
$
532,808

 
$
(213,915
)
 
$
318,893

Backlog
 
2.3
 
143,615

 
(141,212
)
 
2,403

 
144,704

 
(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

 
(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


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):
Year Ending December 31:
 
 

Remainder of 2020
 
$
35,354

2021
 
68,450

2022
 
63,434

2023
 
54,714

2024
 
41,758

Thereafter
 
113,599

Total
 
$
377,309