Annual report pursuant to Section 13 and 15(d)

Goodwill and Intangible Assets

v3.8.0.1
Goodwill and Intangible Assets
12 Months Ended
Dec. 31, 2017
Goodwill and Intangible Assets  
Goodwill and Intangible Assets

8.        Goodwill and Intangible Assets

 

Changes in the carrying amount of goodwill were as follows:

 

 

 

 

 

 

 

 

 

 

 

 

Envestnet

 

Envestnet | Yodlee

 

Total

Balance at December 31, 2015

 

$

135,224

 

$

286,049

 

$

421,273

FinaConnect acquisition

 

 

4,792

 

 

 —

 

 

4,792

Wheelhouse acquisition

 

 

 —

 

 

10,558

 

 

10,558

Purchase accounting adjustments - Yodlee

 

 

24,613

 

 

(28,233)

 

 

(3,620)

Purchase accounting adjustments - Castle Rock

 

 

(388)

 

 

 —

 

 

(388)

Other

 

 

(490)

 

 

(189)

 

 

(679)

Balance at December 31, 2016

    

 

163,751

 

 

268,185

 

 

431,936

Purchase accounting adjustments - Wheelhouse

 

 

 —

 

 

457

 

 

457

Foreign currency translation

 

 

 —

 

 

562

 

 

562

Balance at December 31, 2017

 

$

163,751

 

$

269,204

 

$

432,955

 

Intangible assets consist of the following:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2017

 

December 31, 2016

 

    

 

 

 

    

    

Gross

    

    

 

    

Net

    

Gross

    

    

 

    

Net

 

 

Estimated

 

Carrying

 

Accumulated

 

Carrying

 

Carrying

 

Accumulated

 

Carrying

 

 

Useful Life

 

Amount

 

Amortization

 

Amount

 

Amount

 

Amortization

 

Amount

Customer lists

 

7

-

15

years

 

$

259,350

 

$

(78,482)

 

$

180,868

 

$

259,490

 

$

(54,861)

 

$

204,629

Proprietary technologies

 

4

-

8

years

 

 

57,377

 

 

(31,067)

 

 

26,310

 

 

57,770

 

 

(20,214)

 

 

37,556

Trade names

 

1

-

7

years

 

 

24,840

 

 

(9,701)

 

 

15,139

 

 

25,007

 

 

(6,178)

 

 

18,829

Backlog

 

 

 

4

years

 

 

11,000

 

 

(10,586)

 

 

414

 

 

11,000

 

 

(6,456)

 

 

4,544

Total intangible assets

 

 

 

 

 

 

$

352,567

 

$

(129,836)

 

$

222,731

 

$

353,267

 

$

(87,709)

 

$

265,558

 

During 2016, the Company wrote off fully amortized intangible assets, specifically customer lists, in the amount of $4,159. The Company did not write off any intangible assets in 2017.

 

Amortization expense was as follows:

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31,

 

 

2017

    

2016

    

2015

Amortization expense

 

$

42,127

 

$

45,515

 

$

17,636

 

Future amortization expense of the intangible assets as of December 31, 2017, is expected to be as follows:

 

 

 

 

Years ending December 31:

 

 

2018

$

35,807

2019

 

31,288

2020

 

28,344

2021

 

20,638

2022

 

19,015

Thereafter

 

87,639

 

$

222,731