Quarterly report pursuant to Section 13 or 15(d)

Goodwill and Intangible Assets

v3.20.2
Goodwill and Intangible Assets
6 Months Ended
Jul. 31, 2020
Goodwill And Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets

5.

Goodwill and Intangible Assets

Goodwill represents the difference between the purchase price and the estimated fair value of identifiable assets acquired and liabilities assumed. We are required to perform impairment tests related to our goodwill annually, which we perform during the third quarter of each fiscal year or if we identify certain events or circumstances that would more likely than not reduce the estimated fair value of the goodwill below its carrying amount. The following table represents the changes in goodwill since January 31, 2020:

 

 

 

Goodwill

 

 

 

(Amounts in

thousands)

 

Balance as of January 31, 2020

 

$

9,775

 

Translation adjustment

 

 

666

 

Balance as of July 31, 2020

 

$

10,441

 

Intangible assets, net, consisted of the following at July 31, 2020:

 

 

 

As of July 31, 2020

 

 

 

Gross

 

 

Accumulated

Amortization

 

 

Cumulative

Translation

Adjustment

 

 

Net

 

 

 

(Amounts in thousands)

 

Finite-lived intangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Acquired customer contracts

 

$

2,205

 

 

$

1,084

 

 

$

32

 

 

$

1,153

 

Acquired existing technology

 

 

1,364

 

 

 

672

 

 

 

23

 

 

 

715

 

Total finite-lived intangible assets

 

$

3,569

 

 

$

1,756

 

 

$

55

 

 

$

1,868

 

 

 

 

We recognized amortization expense of intangible assets in operating expense categories on the consolidated statement of operations and comprehensive loss as follows:

 

 

 

For the Three Months

Ended July 31,

 

 

For the Six Months

Ended July 31,

 

 

 

2020

 

 

2019

 

 

2020

 

 

2019

 

 

 

(Amounts in thousands)

 

 

(Amounts in thousands)

 

Selling and marketing

 

$

366

 

 

$

185

 

 

$

366

 

 

$

370

 

Research and development

 

 

(67

)

 

 

115

 

 

 

217

 

 

 

228

 

 

 

$

299

 

 

$

300

 

 

$

583

 

 

$

598

 

 

Future estimated amortization expense of acquired intangibles as of July 31, 2020 is as follows:

 

For the Fiscal Years Ended January 31,

 

Estimated

Amortization

Expense

 

 

 

(Amounts in

thousands)

 

2021

 

$

623

 

2022

 

 

1,245

 

Total

 

$

1,868