MAGNACHIP SEMICONDUCTOR Corp Goodwill & Intangibles Disclosure
Intangible assets as of December 31, 2025 and 2024 are comprised of the following (in thousands):
|
|
December 31, 2025 |
|
|||||||||
|
|
Gross |
|
|
Accumulated |
|
|
Net |
|
|||
Intellectual property assets |
|
$ |
7,672 |
|
|
$ |
(7,218 |
) |
|
$ |
454 |
|
Intangible assets |
|
$ |
7,672 |
|
|
$ |
(7,218 |
) |
|
$ |
454 |
|
|
|
December 31, 2024 |
|
|||||||||
|
|
Gross |
|
|
Accumulated |
|
|
Net |
|
|||
Intellectual property assets |
|
$ |
7,599 |
|
|
$ |
(7,092 |
) |
|
$ |
507 |
|
Intangible assets |
|
$ |
7,599 |
|
|
$ |
(7,092 |
) |
|
$ |
507 |
|
Aggregate amortization expense associated with continuing operations for intangible assets totaled $248 thousand and $305 thousand for the years ended December 31, 2025 and 2024, respectively.
The aggregate amortization expense associated with continuing operations of intangible assets for the next five years are estimated to be $148 thousand, $86 thousand, $56 thousand, $32 thousand and $16 thousand for the years ended December 31, 2026, 2027, 2028, 2029 and 2030, respectively.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 16, 2026 | Showing above |
| 2024 | Mar 14, 2025 | |
| 2023 | Mar 8, 2024 | |
| 2022 | Feb 22, 2023 | |
| 2021 | Feb 23, 2022 | |
| 2020 | Mar 9, 2021 | |
| 2019 | Feb 21, 2020 | |
| 2018 | Feb 22, 2019 | |
| 2017 | Feb 22, 2018 | |
| 2016 | Feb 21, 2017 | |
| 2015 | Feb 22, 2016 | |
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.