Goodwill and Other Intangible Assets
The changes in the carrying amount of goodwill by reportable segment for the years ended December 31, 2025 and 2024, are as follows:
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| (in thousands) | Agribusiness(a) | | Renewables | | Total |
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Balance at December 31, 2023 | $ | 119,067 | | | $ | 8,789 | | | $ | 127,856 | |
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| Acquisitions | — | | | — | | | — | |
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Balance at December 31, 2024 | $ | 119,067 | | | $ | 8,789 | | | $ | 127,856 | |
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| Acquisitions | — | | | — | | | — | |
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Balance at December 31, 2025 | $ | 119,067 | | | $ | 8,789 | | | $ | 127,856 | |
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(a) The Agribusiness segment is shown net of accumulated impairment losses of $116.0 million for all periods presented.
Goodwill is tested for impairment annually as of October 1, or more frequently if impairment indicators arise. The Company uses a one-step quantitative approach that compares the fair value of each reporting unit with its carrying value. Fair value is computed based on both an income approach (discounted cash flows) and a market approach. The income approach uses a reporting unit's estimated future cash flows discounted at the weighted average cost of capital ("WACC"). The market approach estimates fair value by applying cash flow market multiples to the reporting unit's past operating performance and estimated future results. The multiples are derived from comparable publicly traded companies with similar operating and investment characteristics to the reporting unit. Any excess of the carrying value of the goodwill over the fair value will be recorded as an impairment loss.
There can be no assurance that anticipated financial results will be achieved and the goodwill balances remain susceptible to future impairment charges. As of October 1, 2025, the goodwill related to one of the reporting units within the Agribusiness segment is determined to have the greatest risk of future impairment charges given the difference (approximately 12%) between the fair value and carrying value of the reporting unit. If the Company's projected future cash flows were lower, the assumed weighted average cost of capital were higher, or selected market multiples were lower, the testing performed at the annual assessment date may have indicated an impairment of the goodwill. Any impairment charges that the Company may take in the future could be material to its Consolidated Statements of Operations and financial condition.
The Company's other intangible assets are as follows:
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| | | | | December 31, |
| | | | | 2025 | | 2024 |
| (in thousands) | Useful Life
(in years) | | Original Cost | | Accumulated Amortization | | Net Book Value | | Original Cost | | Accumulated Amortization | | Net Book Value |
| Intangible asset class | | | | | | | | | | | | | | | |
| Customer lists | 3 | to | 10 | | $ | 125,278 | | | $ | 81,387 | | | $ | 43,891 | | | $ | 153,410 | | | $ | 97,645 | | | $ | 55,765 | |
| Software | 2 | to | 10 | | 100,858 | | | 81,912 | | | 18,946 | | | 91,615 | | | 80,054 | | | 11,561 | |
| Non-compete agreements | 1 | to | 7 | | 20,978 | | | 20,809 | | | 169 | | | 22,277 | | | 21,756 | | | 521 | |
| Supply agreement | 10 | to | 10 | | 4,620 | | | 4,620 | | | — | | | 8,720 | | | 8,720 | | | — | |
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| Trademarks and patents | 7 | to | 10 | | 4,460 | | | 4,323 | | | 137 | | | 16,049 | | | 15,437 | | | 612 | |
| Other | 3 | to | 10 | | 812 | | | 445 | | | 367 | | | 14,241 | | | 13,355 | | | 886 | |
| | | | | $ | 257,006 | | | $ | 193,496 | | | $ | 63,510 | | | $ | 306,312 | | | $ | 236,967 | | | $ | 69,345 | |
Amortization expense for intangible assets was $16.8 million, $22.5 million, and $24.5 million for the years ended December 31, 2025, 2024, and 2023, respectively. Expected future annual amortization expense for the assets above is as follows: 2026 -- $14.7 million; 2027 -- $14.6 million; 2028 -- $12.6 million; 2029 -- $3.0 million; 2030 -- $2.7 million; and thereafter -- $15.9 million.
About Goodwill & Intangibles Disclosures
Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.
Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.