Quarterly report pursuant to Section 13 or 15(d)

Goodwill and Intangible Assets

v3.3.1.900
Goodwill and Intangible Assets
9 Months Ended
Oct. 31, 2015
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets
6. Goodwill and Intangible Assets

Goodwill

Changes in the carrying amount of goodwill for the nine months ended October 31, 2015 were as follows:

 

     Goodwill  
     (Amounts in thousands)  

Balance at January 31, 2015

   $ 41,008   

Acquisition of Timeline Labs

     17,246   

Cumulative translation adjustment

     (507
  

 

 

 

Balance at October 31, 2015

   $ 57,747   
  

 

 

 

During the third quarter of fiscal 2016, we completed our annual testing for impairment of goodwill and, based on those tests, concluded that the estimated fair value of our goodwill exceeds the carrying value and therefore no impairment existed as of August 1, 2015. See “Critical Accounting Policies and Significant Judgment and Estimates – Goodwill,” in Part I, Item 2 of this Form 10-Q for more information. While no impairment charges resulted from our annual test, impairment charges may occur in the future as a result of changes in projected growth and other factors. As of October 31, 2015, no triggering events have occurred that would indicate a potential impairment of goodwill exists.

Intangible Assets

Intangible assets, net, consisted of the following at October 31, 2015 and January 31, 2015:

 

          As of October 31, 2015      As of January 31, 2015  
     Weighted average
remaining life
(Years)
   Gross      Accumulated
Amortization
    Net      Gross      Accumulated
Amortization
    Net  
     (Amounts in thousands)  

Finite-life intangible assets:

                  

Customer contracts

   6.3    $ 34,889       $ (26,620   $ 8,269       $ 30,397       $ (24,160   $ 6,237   

Non-compete agreements

   2.0      2,561         (2,455     106         2,433         (2,433     —     

Completed technology

   5.1      11,336         (9,732     1,604         10,307         (9,230     1,077   

Trademarks, patents and other

   7.1      7,694         (7,140     554         7,082         (7,082     —     
     

 

 

    

 

 

   

 

 

    

 

 

    

 

 

   

 

 

 

Total finite-life intangible assets

      $ 56,480       $ (45,947   $ 10,533       $ 50,219       $ (42,905   $ 7,314   
     

 

 

    

 

 

   

 

 

    

 

 

    

 

 

   

 

 

 

 

As of October 31, 2015, the estimated future amortization expense for our finite-life intangible assets for the remainder of fiscal 2016, the four succeeding fiscal years and thereafter is as follows (amounts in thousands):

 

     Estimated  
     Amortization  

Fiscal Year Ended January 31,

   Expense  

2016 (for the remaining three months)

   $ 1,128   

2017

     3,191   

2018

     2,337   

2019

     1,649   

2020

     1,076   

2021 and thereafter

     1,152   
  

 

 

 

Total

   $ 10,533