AI Financial Corp Goodwill & Intangibles Disclosure
Note 10: Goodwill
The following table details the Company’s goodwill as of December 27, 2025 and December 28, 2024 (in $000’s):
| Fintech | Biotech | Corporate and Other | Total | |||||||||||||
| Balance, December 28, 2024 | 3,880 | 3,880 | ||||||||||||||
| Mswipe acquisition | 6,378 | 6,378 | ||||||||||||||
| Mswipe tax adjustment | 2,039 | 2,039 | ||||||||||||||
| Balance, December 27, 2025 | $ | 12,297 | $ | $ | $ | 12,297 | ||||||||||
The Company accounts for purchased goodwill and intangible assets in accordance with ASC 350, Intangibles—Goodwill and Other. The Company recognized approximately $8.4 million of goodwill during the year ended December 27, 2025 related to the acquisition of Mswipe and the associated deferred tax liability (see Note 3).
ALT5 SIGMA CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Apr 13, 2026 | Showing above |
| 2022 | Apr 17, 2023 | |
| 2021 | Mar 30, 2021 | |
| 2019 | Apr 6, 2020 | |
| 2017 | Jun 12, 2018 | |
About Goodwill & Intangibles Disclosures
Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.
Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.