8. Intangible Assets and Goodwill

 

The following tables present certain information regarding our intangible assets. Amortizable intangible assets are being amortized on a straight-line basis over their estimated useful lives of eighteen months to thirteen years with no estimated residual values, which materially approximates the expected pattern of use.

 

    December 31, 2025     December 31, 2024  
    (in millions)  
Trademarks   $ 21.8     $ 21.1  
Customer relationships     31.3       28.9  
Intellectual property licenses     7.4       6.1  
Intangible assets, gross     60.5       56.1  
Less: accumulated amortization     (46.5 )     (40.0 )
Intangible assets, net   $ 14.0     $ 16.1  

 

Aggregate intangible asset amortization expense amounted to $3.5 million and $3.3 million for the years ended December 31, 2025 and 2024, respectively.

 

The estimated intangible asset amortization expense for the years ending December 31 is as follows:

 

Year ending December 31, (in millions)        
2026     $ 3.0  
2027       2.7  
2028       1.6  
2029       1.2  
2030       1.0  
Thereafter       4.5  
Total     $ 14.0  

 

Goodwill

 

Goodwill is summarized as follows:

 

    December 31, 2025     December 31, 2024  
    (in millions)  
Balance at beginning of period, gross   $ 78.3     $ 79.3  
Accumulated goodwill impairment losses, recognized year ended December 31, 2020     (20.5 )     (20.5 )
Balance at beginning of period, net     57.8       58.8  
Foreign currency translation adjustments     4.3       (1.0
Ending balance, net   $ 62.1     $ 57.8  

 

 

INSPIRED ENTERTAINMENT, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

AS OF AND FOR THE YEARS ENDED DECEMBER 31, 2025 AND 2024

 

Historical Timeline

Fiscal YearFiled
2025Mar 10, 2026Showing above
2024Mar 26, 2025
2023Apr 15, 2024
2022Mar 16, 2023
2021Mar 31, 2022
2020Mar 29, 2021
2019Mar 30, 2020
2018Dec 10, 2018
2017Dec 4, 2017

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.