Privia Health Group, Inc.PRVA
Privia Health Group, Inc. Goodwill & Intangibles Disclosure
Goodwill and Intangible Assets, Net
For the purposes of the goodwill impairment assessment, the Company as a whole is one reporting unit as the Chief Operating Decision Maker (“CODM”) reviews financial results on a consolidated basis. The Company recognizes the excess of the purchase price, plus the fair value of any non-controlling interests in the acquiree, over the fair value of identifiable net assets acquired as goodwill. The Company performs a qualitative assessment on goodwill at least annually or more frequently if events or changes in circumstances indicate that the carrying value of goodwill may not be recoverable. If it is determined in the qualitative assessment that the fair value of a reporting unit is more likely than not below its carrying amount, then the Company will perform a quantitative impairment test. The quantitative goodwill impairment test is performed by comparing the fair value of a reporting unit with its carrying amount. Any excess in the carrying value of a reporting unit’s goodwill over its fair value is recognized as an impairment loss, limited to the total amount of goodwill allocated to that reporting unit. The carrying value of goodwill at December 31, 2025 and 2024 is $209.8 million and $141.6 million, respectively. No indicators of impairment were identified during the years ended December 31, 2025, 2024, and 2023. As of December 31, 2025, there was no accumulated impairment of goodwill.
During January 2024, PMG West Texas Holdings, PLLC, a Nominee PC, acquired a majority ownership interest in an independent physician association in the Gulf Coast Market. The Company, through one of its affiliates, is party to a Restriction Agreement with the Nominee PC. The Company recorded Goodwill of $0.7 million in connection with the acquisition, representing the excess of the purchase price over the fair value of the net assets acquired.
During November 2024, the Company entered into the Indiana market through the acquisition of Privia Medical Group Indiana, LLC (“PMG IN”), whereby Privia acquired majority ownership in PMG IN. The Company recorded Goodwill of $2.2 million in connection with PMG IN, which represents the excess of the purchase price over the fair value of the net assets acquired.
During April 2025, the Company entered into the Arizona market through the acquisition of PMG AZ, whereby Privia acquired a 51% ownership interest in PMG AZ. During the year ended December 31, 2025, the Company recorded Goodwill of $43.8 million in connection with PMG AZ, which represents the excess of the purchase price over the fair value of the net assets acquired.
During December 2025, the Company acquired an ACO business from Evolent Health, Inc. In this connection, the Company recorded Goodwill of $24.4 million, which represents the excess of the purchase price over the fair value of the net assets acquired.
A summary of the Company’s intangible assets is as follows:
| December 31, 2025 | December 31, 2024 | ||||||||||||||||||||||
| (Dollars in thousands) | Intangible Assets | Accumulated Amortization | Intangible Assets | Accumulated Amortization | |||||||||||||||||||
| Trade names | $ | 4,600 | $ | 2,607 | $ | 4,600 | $ | 2,377 | |||||||||||||||
| Consumer customer relationships | 3,100 | 2,783 | 3,100 | 2,758 | |||||||||||||||||||
| Management Service Agreement | 2,200 | 1,409 | 2,200 | 1,272 | |||||||||||||||||||
| Physician network | 16,052 | 2,016 | 10,902 | 916 | |||||||||||||||||||
| Payer contracts | 167,443 | 9,978 | 57,313 | 4,768 | |||||||||||||||||||
| MSO Service Agreement | 51,800 | 10,483 | 51,800 | 8,017 | |||||||||||||||||||
| 245,195 | $ | 29,276 | 129,915 | $ | 20,108 | ||||||||||||||||||
| Less accumulated amortization | (29,276) | (20,108) | |||||||||||||||||||||
| Intangible assets, net | $ | 215,919 | $ | 109,807 | |||||||||||||||||||
The remaining weighted average life of all amortizable intangible assets is approximately 17.5 years at December 31, 2025.
Amortization expense for intangible assets was approximately $9.2 million, $6.2 million and $5.4 million for the years ended December 31, 2025, 2024, and 2023, respectively.
Remaining estimated amortization expense for the Company’s intangible assets is as follows:
| (Dollars in Thousands) | |||||
| 2026 | $ | 12,541 | |||
| 2027 | 12,541 | ||||
| 2028 | 12,541 | ||||
| 2029 | 12,541 | ||||
| 2030 | 12,541 | ||||
| Thereafter | 153,214 | ||||
| Total | $ | 215,919 | |||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 27, 2026 | Showing above |
| 2024 | Feb 27, 2025 | |
| 2023 | Feb 27, 2024 | |
| 2022 | Mar 1, 2023 | |
| 2021 | Mar 25, 2022 | |
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.