Goodwill and Intangible Assets

3 Months Ended

Dec. 31, 2020

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS

4. GOODWILL AND INTANGIBLE ASSETS

Goodwill

The Company had a goodwill balance of $37.3 million at December 31, 2020, representing the excess of costs over fair value of assets of businesses acquired. Goodwill acquired in a business combination and determined to have an indefinite useful life is not amortized, but instead is tested for impairment at least annually in accordance with ASC 350. The following table summarizes changes in the balance of goodwill during the three months ended December 31, 2020 (amounts shown in thousands):

Balance at September 30, 2020	$	35,669
Foreign currency effect on goodwill	1,654
Balance at December 31, 2020	$	37,323

Intangible Assets

Intangible assets include the value assigned to purchased completed technology, customer relationships, and trade names. The estimated useful lives for all of these intangible assets range from two to seven years. Intangible assets as of December 31, 2020 and September 30, 2020, respectively, are summarized as follows (amounts shown in thousands, except for years):

December 31, 2020:	Weighted Average Amortization Period	Cost		Accumulated Amortization		Net
Completed technologies	6.4 years	$	20,341	$	9,736	$	10,605
Customer relationships	4.8 years	17,628		9,928		7,700
Trade names	4.5 years	618		500		118
Total intangible assets		$	38,587	$	20,164	$	18,423

September 30, 2020:	Weighted Average Amortization Period	Cost		Accumulated Amortization		Net
Completed technologies	6.4 years	$	20,341	$	9,416	$	10,925
Customer relationships	4.8 years	17,628		9,390		8,238
Trade names	4.5 years	618		492		126
Total intangible assets		$	38,587	$	19,298	$	19,289

Amortization expense related to acquired intangible assets was $1.7 million and $1.6 million for the three months ended December 31, 2020 and 2019, respectively, and is recorded within acquisition-related costs and expenses on the consolidated statements of operations and other comprehensive income.

The estimated future amortization expense related to intangible assets for each of the five succeeding fiscal years is expected to be as follows (amounts shown in thousands):

	Estimated Future Amortization Expense
2021—remaining	$	4,935
2022	6,209
2023	4,075
2024	1,947
2025	1,257
Total	$	18,423