Goodwill and Intangible Assets

3 Months Ended

Mar. 31, 2023

Goodwill And Intangible Assets Disclosure [Abstract]

5. Goodwill and Intangible Assets

Goodwill

The change in the carrying amount of goodwill during the three months ended March 31, 2023 is as follows:


	Amount
Balance at December 31, 2022	$	5,935
Foreign currency translation		11
Balance at March 31, 2023	$	5,946

The Company performs an annual impairment test of goodwill as of the end of the first month of the fourth fiscal quarter (October 31), or at an interim date if an event occurs or circumstances change that indicate that an impairment loss may have been incurred. In performing the annual impairment test, the Company may consider qualitative factors that would indicate possible impairment. A quantitative fair value assessment is also performed at the reporting unit level. If the fair value exceeds the carrying value, then goodwill is not impaired, and no further testing is performed. If the carrying value exceeds the fair value, the implied fair value of goodwill is then compared against the carrying value of goodwill to determine the amount of impairment. In addition to the annual impairment test, the Company is required to regularly assess whether a triggering event has occurred that would require interim impairment testing. The Company considered the current and expected future economic and market conditions surrounding the COVID-19 pandemic and its impact on each of the reporting units. Further, the Company assessed the current market capitalization and financial forecasts. There were no triggering events during the three months ended March 31, 2023 and March 31, 2022. The Company will continue to monitor goodwill for impairment going forward.

Intangible Assets

The Company amortized intangible assets with finite lives on a straight-line basis over the estimated useful lives, which ranged from one to five years.

The summary of amortization expense in the condensed consolidated statements of operations is as follows:


	Three Months Ended March 31,
	2023		2022
Cost of revenues	$	18	$	20
Operating expenses		63		71
Total	$	81	$	91

The summary of other intangible assets, net are as follows:


	March 31, 2023						December 31, 2022
			Accumulated		Net Book				Accumulated		Net Book
	Cost		Amortization		Value		Cost		Amortization		Value
Customer contracts and relationships	$	17,515	$	17,124	$	391	$	17,512	$	17,091	$	421
Patents and technology		9,997		9,779		218		9,995		9,761		234
Trademarks and trade names		1,486		1,169		317		1,484		1,143		341
Other intangible assets		96		54		42		96		47		49
Total	$	29,094	$	28,126	$	968	$	29,087	$	28,042	$	1,045

During the three months ended March 31, 2023 and March 31, 2022, the Company recorded amortization expense of $0.1 million. For the three months ended March 31, 2022, the Company recorded a foreign currency translation adjustment of $0.1 million.

The assigned lives and weighted average amortization periods by intangible asset category are summarized below:


Intangible Assets	Assigned Life	Weighted Average Amortization Period
Customer contracts and relationships	5 years		5.0
Patents and technology	5 years		5.0
Trademarks and trade names	5 years		5.0
Other intangible assets	.5 to 5 years		3.6

The future amortization expenses are as follows:


Fiscal Year	Amount
2023 (remaining nine months)	$	244
2024		314
2025		308
2026		102
Thereafter		0
Total	$	968