Note 14 - Goodwill and Intangible Assets

6 Months Ended

Jun. 30, 2023

Notes to Financial Statements

Goodwill and Intangible Assets Disclosure [Text Block]

14. Goodwill and Intangible Assets

Goodwill

As of June 30, 2023, the Company recognized $4.5 million in goodwill as the result of the acquisition of 50% of TAV on September 1, 2021, and an additional $2.0 million in goodwill as a result of the business combination with OTF on August 1, 2022.  The fair value of goodwill as of the date of acquisition, a Level 3 input, was principally based on values obtained from public and private market comparisons. In accordance with ASC Topic 350, Intangibles – Goodwill and Other, the Company did not record any goodwill impairment losses during the three or six months ended June 30, 2023 and 2022.

Intangible Assets

The following is a summary of intangible assets excluding goodwill recorded as intangible assets on our Unaudited Consolidated Balance Sheets (in thousands):

	June 30,		December 31,
	2023		2022
Intangible assets subject to amortization	$	304	$	342
Total	$	304	$	342

Intangible assets subject to amortization consisted of the following as of June 30, 2023 (dollars in thousands):

	Weighted-average remaining amortization period (in years)		Gross carrying amount		Accumulated amortization			Net carrying amount
Noncompetition agreement		4.3	$	372	$	(68	)	$	304
Total			$	372	$	(68	)	$	304

No impairment in the value of amortizing intangible assets was recognized during the three or six months ended June 30, 2023.

Amortization expense of our intangible assets for the three and six month periods ended June 30, 2023, was $17,000 and $38,000, respectively.

Estimated amortization expense of the intangible assets to be recognized by the Company during the remainder of 2023 and over the next five years is as follows (in thousands):

Year ending December 31,	Estimated Amortization Expense
Remaining in 2023	$	37
2024		74
2025		74
2026		74
2027		45
Total	$	304