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Goodwill and Intangible Assets
 3 Months Ended
Mar. 31, 2023
Goodwill and Intangible Assets [Abstract]  
Goodwill and Intangible Assets
Note 6 - Goodwill and Intangible Assets

The Company monitors operating results and events and circumstances that may indicate potential impairment of intangible assets. Management concluded that no triggering events that occurred during the three months ended March 31, 2023 and 2022.

During September 30, 2022, we determined that the deterioration in sales, decline in revenues, delayed pipeline opportunities, and overall downward performance results and the forecast related to the Workforce Solutions business segment was material enough to be considered a triggering event that could result in impairment of our long-lived assets. We performed an interim analysis and determined an impairment existed at September 30, 2022 in accordance with ASC 350 & ASC 360. As such, we recorded an impairment of the related goodwill and definite-lived intangible assets of $7.0 million and $0.5 million, for the three and nine months ended September 30, 2022, respectively.

Management determined there were no triggering events occured during the three months March 31, 2023.

Goodwill

The following table shows the gross carrying amount and impairment of goodwill:

(in thousands)

 
  
Goodwill
    
Accumulated
Impairment
    
Net
  

                 
Engineering
  
$
8,278
    
$
(3,370
)
  
$
4,908
  
Workforce Solutions
    
8,431
      
(7,040
)
    
1,391
  
Net book value at March 31, 2023
  
$
16,709
    
$
(10,410
)
  
$
6,299
  

(in thousands)

 
  
Goodwill
    
Accumulated
Impairment
    
Net
  

                 
Engineering
  
$
8,278
    
$
(3,370
)
  
$
4,908
  
Workforce Solutions
    
8,431
      
(7,040
)
    
1,391
  
Net book value at December 31, 2022
  
$
16,709
    
$
(10,410
)
  
$
6,299
  

The following table shows the gross carrying amount and accumulated amortization of definite-lived intangible assets:
(in thousands)
  
As of March 31, 2023
  
   
Gross
Carrying
Amount
    
Accumulated
Amortization
      Impairment    
Net
  
Amortized intangible assets:
                        
Customer relationships
  
$
8,628
    
$
(7,154
)
   $
(464 )  
$
1,010
  
Trade names
    
1,689
      
(1,218
)
     -      
471
  
Developed technology
    
471
      
(471
)
     -      
-
  
Non-contractual customer relationships
    
433
      
(433
)
     -      
-
  
Noncompete agreement
    
527
      
(495
)
     -      
32
  
Alliance agreement
    
527
      
(514
)
     -      
13
  
Others
    
167
      
(167
)
     -      
-
  
Total
  
$
12,442
    
$
(10,452
)
   $ (464 )  
$
1,526
  

(in thousands)
  
As of December 31, 2022
  
   
Gross
Carrying
Amount
    
Accumulated Amortization
    
Impairment
    
Net
  
Amortized intangible assets:
                        
Customer relationships
  
$
8,628
    
$
(7,050
)
  
$
(464
)
  
$
1,114
  
Trade names
    
1,689
      
(1,196
)
    
-
      
493
  
Developed technology
    
471
      
(471
)
    
-
      
-
  
Non-contractual customer relationships
    
433
      
(433
)
    
-
      
-
  
Noncompete agreement
    
527
      
(486
)
    
-
      
41
  
Alliance agreement
    
527
      
(488
)
    
-
      
39
  
Others
    
167
      
(167
)
    
-
      
-
  
Total
  
$
12,442
    
$
(10,291
)
  
$
(464
)
  
$
1,687
  

Amortization expense related to definite-lived intangible assets totaled $0.2 million and $0.3 million for the three months ended March 31, 2023 and 2022. The following table shows the estimated amortization expense of the definite-lived intangible assets for the next five years and thereafter:
 
(in thousands)
      
Years ended December 31:
      
2023 remainder
  
$
348
  
2024
    
332
  
2025
    
255
  
2026
    
204
  
2027
    
169
  
Thereafter
    
218
  
Total
  
$
1,526