Company: ACEL
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0001698991-25-000011
Chunk: 63

Company: Accel Entertainment, Inc.
Filing Date: 2025-03-03
Form: 10-K
Item: Item 16
Chunk 63
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11,719 Total$23,258 

Amortization expense of route and customer acquisition costs was $2.3 million, $1.6 million and $1.3 million for the years ended December 31, 2024, 2023 and 2022, respectively. 

Note 7. Location Contracts Acquired

Location contracts acquired in business acquisitions consist of the following as of December 31 (in thousands):20242023Cost$330,903 $286,728 Accumulated amortization(128,285)(110,417)Location contracts acquired, net$202,618 $176,311 Estimated amortization expense related to location contracts acquired for the next five years and thereafter is as follows (in thousands):Year ending December 31:2025$20,256 202620,111 202720,008 202819,962 202919,916 Thereafter102,365 Total$202,618 Amortization expense of location contracts acquired was $17.9 million, $17.1 million and $14.8 million during the years ended December 31, 2024, 2023 and 2022, respectively. Location contracts are tested for impairment when triggering events occur. There were no indicators of impairment of location contracts in December 31, 2024, 2023, or 2022.

F-18

Table of ContentsAccel Entertainment, Inc. and SubsidiariesNotes to Consolidated Financial Statements — (Continued)

Note 8. Goodwill and Other Intangible Assets 

The Company had goodwill of $116.3 million as of December 31, 2024, of which $39.1 million is deductible for tax purposes.The following are the Company’s acquisitions for the years ended December 31, 2024 and 2023, that resulted in the recording of goodwill. See Note 10, Business and Asset Acquisitions, for more information on how the amount of goodwill for the respective acquisitions was calculated. On December 2, 2024, the Company acquired Fairmount Holdings, Inc. (“Fairmount”), a racing track in Collinsville, Illinois, for a total stock consideration of $40.5 million, of which $12.0 million was recorded as goodwill. On On November 1, 2024, the Company completed its acquisition of Toucan Gaming, a distributed gaming operator in the state of Louisiana, for total cash consideration of $41.