Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2024

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

Note 5: Goodwill and Other Intangible Assets

The components of intangible assets are as follows (in 000’s):

	December 31, 2024
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Customer relationships		1,998		(1,426	)		572
Proprietary software		3,198		(1,458	)		1,740
Distribution partner relationships		153		(99	)		54
Non-compete agreement		69		(69	)		—
Trademarks – definite-lived		13,350		(3,972	)		9,378
Trademarks – indefinite-lived		232		—			232
Total intangible assets	$	19,000	$	(7,024	)	$	11,976

	December 31, 2023
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Customer relationships		1,998		(1,158	)		840
Proprietary software		3,198		(1,015	)		2,183
Distribution partner relationships		153		(84	)		69
Non-compete agreement		69		(69	)		—
Trademarks – definite-lived		27,500		(2,139	)		25,361
Trademarks – indefinite-lived		232		—			232
Total intangible assets	$	33,150	$	(4,465	)	$	28,685

The Company performed its annual assessment for impairment of intangible assets and determined an impairment charge of $14,150,000 associated with the Newswire trademarks was necessary for the year ended December 31, 2024. As a result of the Company’s rebranding to ACCESS Newswire, management determined the useful life of the Newswire trademarks to be 5 years as opposed to the original 15 years upon the initial valuation in 2022. This decrease caused a decrease in the expected cashflows the assets will generate, which resulted in the impairment charge. There was no impairment loss recorded as of and for the year ended December 31, 2023.

The amortization of intangible assets is a charge to operating expenses and totaled $2,559,000 in the years ended 2024 and 2023, respectively.

The future amortization of the identifiable intangible assets is as follows (in 000’s):

Years Ending December 31:
2025	$	2,502
2026		2,475
2027		2,347
2028		2,243
2029		2,177
Thereafter		—
Total	$	11,744

During the year ended December 31, 2022, we acquired Newswire, which added $16,122,000 of goodwill based on our preliminary purchase price allocation.  During the year ending December 31, 2023, we concluded our purchase price allocation, which resulted in a reduction in goodwill of $571,000. Along with Newswire, the goodwill balance of $19,043,000 is related to the stock acquisitions of ACCESSWIRE in 2014 and Filing Services Canada, Inc. in 2018 and the assets of the Visual Webcasting Platform in 2019. The Company conducted its annual impairment analyses as of December 31, 2024 and 2023 and determined that no goodwill was impaired.