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Note 9 - Goodwill and Intangible Assets

12 Months Ended

Sep. 30, 2021

Goodwill and Intangible Assets Disclosure [Text Block]

9. GOODWILL AND INTANGIBLE ASSETS

Goodwill is attributable to the acquisitions of Genasys Spain and Zonehaven, and the Amika Mobile asset purchase and is due to combining the integrated emergency critical communications, mass messaging solutions and software development capabilities with existing hardware products for enhanced offerings and the skill level of the acquired workforces. The Company periodically reviews goodwill for impairment in accordance with relevant accounting standards. During the year ended September 30, 2021, the Company added a total of $21,128 in goodwill related to the Zonehaven acquisition and the Amika Mobile asset purchase. As of September 30, 2021 and September 30, 2020, goodwill was $23,834 and $2,472, respectively. There were no impairments to goodwill during the years ended September 30, 2021 and 2020.

Intangible assets and goodwill related to Genasys Spain are translated from Euro to U.S. dollars at the balance sheet date. The net impact of foreign currency exchange differences arising during the period related to goodwill and intangible assets was a decrease of $32. Intangible assets and goodwill related to Amika Mobile are translated from Canadian dollars to U.S. dollars at the balance sheet date. The net impact of foreign currency exchange differences arising during the year ended September 30, 2021, related to goodwill and intangible assets from the Amika Mobile asset purchase was an increase of $398. During the year ended September 30, 2021, the Company added $13,052 in intangible assets related to the Zonehaven acquisition and the Amika Mobile asset purchase.

The changes in the carrying amount of goodwill by segment for the year ended September 30, 2021, are as follows:

	Hardware		Software		Total
Balance as of September 30, 2020	$	-	$	2,472	$	2,472
Acquisitions		-		21,128		21,128
Currency translation		-		234		234
Balance as of September 30, 2021	$	-	$	23,834	$	23,834

The Company’s intangible assets consisted of the following:

	September 30,
	2021			2020
Technology	$	12,065		$	655
Customer relationships		1,855			627
Trade name portfolio		625			228
Non-compete agreements		244			247
Patents		72			72
		14,861			1,829
Accumulated amortization		(2,057	)		(886	)
	$	12,804		$	943

The changes in the carrying amount of intangible assets by segment for the year ended September 30, 2021, are as follows:

	Hardware			Software			Total
Balance as of September 30, 2020	$	29		$	914		$	943
Acquisitions		-			12,920			12,920
Amortization		(4	)		(1,187	)		(1,191	)
Currency translation		-			132			132
Balance as of September 30, 2021	$	25		$	12,779		$	12,804

	Years ended
	September 30,
	2021		2020
Amortization expense	$	1,191	$	302

Estimated amortization expense for the fiscal year ending September 30,

2022		2,169
2023		2,137
2024		2,123
2025		1,995
2026		1,855
Thereafter		2,525
Total estimated amortization expense	$	12,804