GOODWILL AND OTHER INTANGIBLE ASSETS
    
Goodwill

Changes in the carrying value of goodwill by segment were as follows (in thousands):

December 31, 2024U.S.
Pawn
 Segment
Latin America
 Pawn Segment
Retail POS Payment Solutions SegmentTotal
Balance, beginning of year$1,042,867 $198,580 $486,205 $1,727,652 
Acquisitions (see Note 3)82,359 2,528  84,887 
Effect of foreign currency translation (25,367) (25,367)
Balance, end of year$1,125,226 $175,741 $486,205 $1,787,172 
December 31, 2023
Balance, beginning of year$916,048 $179,128 $486,205 $1,581,381 
Acquisitions (see Note 3)127,239 — — 127,239 
Effect of foreign currency translation— 19,452 — 19,452 
Other adjustments(420)— — (420)
Balance, end of year$1,042,867 $198,580 $486,205 $1,727,652 

The Company performed its annual assessment of goodwill and determined there was no impairment as of December 31, 2024 and 2023.

Definite-Lived Intangible Assets

The following table summarizes the components of gross and net definite-lived intangible assets subject to amortization (in thousands):

As of December 31,
20242023
Gross
Carrying
Amount
Accumulated AmortizationNet
Carrying
Amount
Gross
Carrying
Amount
Accumulated AmortizationNet
Carrying
Amount
Merchant relationships$194,000 $(92,916)$101,084 $194,000 $(63,070)$130,930 
Developed technology99,400 (60,468)38,932 99,400 (40,588)58,812 
Customer relationships27,656 (26,417)1,239 28,250 (26,591)1,659 
$321,056 $(179,801)$141,255 $321,650 $(130,249)$191,401 

Merchant relationships and customer relationships are generally amortized using an accelerated amortization method that reflects the future cash flows expected from the existing AFF merchants and returning pawn customers.
The following table details the remaining weighted-average amortization periods for the definite-lived intangible assets included in the table above:

Weighted-Average
Remaining
Amortization
Period (Years)
As of December 31, 2024
Merchant relationships2.0
Developed technology1.0
Customer relationships1.8
Total definite-lived intangible assets1.7

Amortization expense for definite-lived intangible assets was $50.1 million, $57.0 million and $57.1 million for the years ended December 31, 2024, 2023 and 2022, respectively. Estimated future amortization expense is as follows (in thousands):

2025$48,488 
202645,549 
202724,544 
202822,674 
$141,255 

Indefinite-Lived Intangible Assets

Indefinite-lived intangible assets as of December 31, 2024 and 2023 consist of the following (in thousands):

As of December 31,
20242023
Trade names$46,300 $46,300 
Pawn licenses (1)
41,303 40,023 
$87,603 $86,323 

(1)Costs to renew licenses with indefinite lives are expensed as incurred and recorded in operating expenses in the consolidated statements of income.
The Company performed its annual assessment of indefinite-lived intangible assets and determined there was no impairment as of December 31, 2024 and 2023.

Historical Timeline

Fiscal YearFiled
2024Feb 3, 2025Showing above
2023Feb 5, 2024
2022Feb 6, 2023
2021Feb 28, 2022
2020Feb 1, 2021
2019Feb 3, 2020
2018Feb 5, 2019
2017Feb 20, 2018
2016Mar 1, 2017
2015Feb 17, 2016

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.