Goodwill and Intangible Assets

6 Months Ended

Mar. 28, 2023

Goodwill and Intangible Assets [Abstract]

Goodwill and Intangible Assets

Note 4.  Goodwill and Intangible Assets

The following table presents goodwill and intangible assets as of March 28, 2023 and September 27, 2022 (in thousands):

	March 28, 2023							September 27, 2022
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
Intangible assets subject to amortization:
Non-compete agreements	$	25	$	(9	)	$	16	$	25	$	(5	)	$	20
Indefinite-lived intangible assets:
Trademarks		3,900		-			3,900		3,900		-			3,900
Intangible assets, net	$	3,925	$	(9	)	$	3,916	$	3,925	$	(5	)	$	3,920
Goodwill	$	5,713	$	-		$	5,713	$	5,713	$	-		$	5,713

Goodwill represents the excess of cost over fair value of the assets of businesses the Company acquired. Goodwill is not amortized, but rather, the Company is required to test goodwill for impairment on an annual basis or whenever indications of impairment arise. The Company considers its operations to be comprised of two reporting units: (1) Good Times restaurants and (2) Bad Daddy’s restaurants. The Company had no goodwill impairment losses in the periods presented in the above table. The aggregate amortization expense related to these intangible assets subject to amortization was $9,000 for the two quarters ended March 28, 2023 and $5,000 for the two quarters ended March 29, 2022.As of both March 28, 2023 and March 29, 2022, the Company had $96,000 of goodwill attributable to the Good Times reporting unit and $5,617,000 of goodwill attributable to its Bad Daddy’s reporting unit.