Goodwill and Intangible Assets

3 Months Ended

Mar. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

The Company completes its annual goodwill impairment test during the fourth quarter of each year, or more frequently if triggering events indicate a possible impairment in one or more of its reporting units. During the three months ended March 31, 2023, the Company did not identify any impairment triggering events related to goodwill.

The following table summarizes the changes in the carrying amount of goodwill for the periods indicated:


(in thousands)
Balance as of January 1, 2023	$	119,276

Impact of currency translation	11
Balance as of March 31, 2023	$	119,287

Balance as of January 1, 2022	$	134,744

Impact of currency translation	(11)
Balance as of March 31, 2022	$	134,733

The total accumulated impairment loss of the Company's goodwill as of March 31, 2023 and December 31, 2022 was $99.9 million.

Intangible Assets

Intangible assets consists of the following as of March 31, 2023 and December 31 2022:


	March 31, 2023
(in thousands)	Gross Carrying Amount		Accumulated Impairment Charges		Accumulated Amortization		Currency Translation Impact on Carrying Amount		Net Carrying Amount
Indefinite-lived intangible assets:
Brands and trademarks	$	63,800	$	(52,251)	$	—	$	—	$	11,549
Long-lived intangible assets:
Brands and trademarks	86		—		(59)		(1)		26
Acquired technology	5,910		—		(5,598)		—		312
Customer relationships	10,780		—		(10,780)		—		—
Licenses and domains	205		—		(204)		(1)		—
Other	470		—		(470)		—		—
Total intangible assets	$	81,251	$	(52,251)	$	(17,111)	$	(2)	$	11,887


	December 31, 2022
(in thousands)	Gross Carrying Amount		Accumulated Impairment Charges		Accumulated Amortization		Currency Translation Impact on Carrying Amount		Net Carrying Amount
Indefinite-lived intangible assets:
Brands and trademarks	$	63,800	$	(51,151)	$	—	$	—	$	12,649
Long-lived intangible assets:
Brands and trademarks	86		—		(58)		(2)		26
Acquired technology	5,910		—		(5,286)		—		624
Customer relationships	10,780		—		(10,780)		—		—
Licenses and domains	205		—		(204)		(1)		—
Other	470		—		(470)		—		—
Total intangible assets	$	81,251	$	(51,151)	$	(16,798)	$	(3)	$	13,299

During the three months ended March 31, 2023 the Company recognized impairment charges of $1.1 million related to the Zoosk tradename due to lowered revenue expectations. Note that during the three months ended March 31, 2022 there were no impairment charges. The Company estimated the fair value using an income approach, specifically the relief-from-royalty method, based on the present value of future cash flows. The Company used a royalty rate of 3% and weighted average cost of capital of 26% to estimate the fair value of Zoosk tradename.

Amortization expense for the three months ended March 31, 2023 and March 31, 2022 was $0.3 million and $0.3 million, respectively.