Goodwill and Other Intangible Assets

9 Months Ended

Sep. 30, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

Note 5. Goodwill and Other Intangible Assets

The changes in the carrying amount of goodwill for the nine months ended September 30, 2025 by reportable segment were as follows (in thousands):


	First Advantage Americas		First Advantage International		Sterling		Total
Balance – December 31, 2024	$	703,294	$	114,341	$	1,306,893	$	2,124,528
Adjustments to initial purchase price allocations		—		—		6,440		6,440
Foreign currency translation		67		1,698		7,601		9,366
Balance – September 30, 2025	$	703,361	$	116,039	$	1,320,934	$	2,140,334

The following summarizes the gross carrying value and accumulated amortization for the Company’s trade names, customer lists, and other intangible assets as of September 30, 2025 and December 31, 2024 (in thousands):


	September 30, 2025
	Gross Carrying Value		Accumulated Amortization			Net Carrying Value		Useful Life (in years)
Trade names	$	158,223	$	(53,975	)	$	104,248	5-20 years
Customer lists		1,175,006		(390,765	)		784,241	13-14 years
Other intangible assets		2,400		(991	)		1,409	5 years
Total	$	1,335,629	$	(445,731	)	$	889,898


	December 31, 2024
	Gross Carrying Value		Accumulated Amortization			Net Carrying Value		Useful Life (in years)
Trade names	$	157,740	$	(39,265	)	$	118,475	5-20 years
Customer lists		1,170,327		(302,632	)		867,695	13-14 years
Other intangible assets		2,400		(622	)		1,778	5 years
Total	$	1,330,467	$	(342,519	)	$	987,948

Amortization expense of trade names, customer lists, and other intangible assets was approximately $34.2 million and $14.3 million for the three months ended September 30, 2025 and 2024, respectively. Amortization expense of trade names, customer lists, and other intangible assets was approximately $102.5 million and $42.8 million for the nine months ended September 30, 2025 and 2024, respectively. Trade names and customer lists are amortized on an accelerated basis based upon their estimated useful life. Other intangible assets are amortized on a straight-line or accelerated basis over their expected useful life of five years.

FIRST ADVANTAGE CORP 10-Q