Quarterly report pursuant to Section 13 or 15(d)

Goodwill and Acquired Intangible Assets

v3.21.2
Goodwill and Acquired Intangible Assets
 9 Months Ended
Sep. 30, 2021
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Acquired Intangible Assets

Note 4 – Goodwill and Acquired Intangible Assets

 

Goodwill

 

Changes in goodwill for the nine months ended September 30, 2021 are as follows (in thousands):

 

    September 30, 2021  
Goodwill, beginning of period   $ 901  
Acquisition of Nebula     484  
Goodwill, end of period   $ 1,385  

 

 

ProPhase Labs, Inc. and Subsidiaries

Notes to Condensed Consolidated Financial Statements

(unaudited)

 

Intangible Assets, Net

 

Intangible assets as of September 30, 2021 and December 31, 2020 consisted of the following (in thousands):

 

    September 30,     December 31,     Estimated Useful  
    2021     2020     Life (in years)  
Trade names   $ 5,550     $ -       15  
Proprietary intellectual property     4,260       -       5  
Customer relationships     1,180       -       1  
CLIA license     1,307       1,307       3  
Total intangible assets, gross     12,297       1,307          
Less: accumulated amortization     (735 )     (73 )        
Total intangible assets, net   $ 11,562     $ 1,234          

 

Amortization expense for acquired intangible assets was $445,000 and $662,000 during the three and nine months ended September 30, 2021, respectively. The estimated future amortization expense of acquired intangible assets as of September 30, 2021 is as follows (in thousands):

 

         
Three months ended December 31, 2021   $ 709  
Year ended December 31, 2022     2,378  
Year ended December 31, 2023     1,585  
Year ended December 31, 2024     1,222  
Year ended December 31, 2025     1,222  
Thereafter     4,446  
Total   $ 11,562