OOMA INC Goodwill & Intangibles Disclosure
Note 6: Goodwill and Acquired Intangible Assets
During fiscal 2026, the Company recognized intangibles of $46.9 million and goodwill of $26.8 million in connection with business acquisitions completed in December 2025. See Note 13: Business Acquisition.
The goodwill balance was as follows (in thousands):
|
|
|
|
Total |
|
|||
Balance at January 31, 2025 |
|
|
|
|
$ |
|
23,069 |
|
Additions due to FluentStream acquisition |
|
|
|
|
|
|
18,030 |
|
Additions due to Phone.com acquisition |
|
|
|
|
|
|
8,728 |
|
Balance at January 31, 2026 |
|
|
|
|
$ |
|
49,827 |
|
The gross value, accumulated amortization and carrying values of intangible assets were as follows (in thousands):
|
|
|
|
|
As of January 31, 2026 |
|
||||||||||||
|
|
Estimated life |
|
Gross |
|
|
Accumulated Amortization |
|
|
Carrying |
|
|||||||
Developed technology |
|
|
2-7 |
|
$ |
|
24,918 |
|
|
$ |
|
(8,338 |
) |
|
$ |
|
16,580 |
|
Customer relationships |
|
|
5-7 |
|
|
|
56,045 |
|
|
|
|
(13,719 |
) |
|
|
|
42,326 |
|
Trade names |
|
|
2-7 |
|
|
|
4,785 |
|
|
|
|
(1,213 |
) |
|
|
|
3,572 |
|
Total intangible assets |
|
|
|
|
$ |
|
85,748 |
|
|
$ |
|
(23,270 |
) |
|
$ |
|
62,478 |
|
|
|
|
|
|
|
|
||||||||||||
|
|
|
|
|
As of January 31, 2025 |
|
||||||||||||
|
|
Estimated life |
|
Gross |
|
|
Accumulated Amortization |
|
|
Carrying |
|
|||||||
Developed technology |
|
|
2-7 |
|
$ |
|
20,618 |
|
|
$ |
|
(5,591 |
) |
|
$ |
|
15,027 |
|
Customer relationships |
|
|
5-7 |
|
|
|
16,545 |
|
|
|
|
(10,131 |
) |
|
|
|
6,414 |
|
Trade names |
|
|
2-5 |
|
|
|
1,685 |
|
|
|
|
(942 |
) |
|
|
|
743 |
|
Total intangible assets |
|
|
|
|
$ |
|
38,848 |
|
|
$ |
|
(16,664 |
) |
|
$ |
|
22,184 |
|
Amortization expense was $6.6 million, $5.8 million and $3.7 million in fiscal 2026, 2025 and 2024, respectively.
At January 31, 2026, the estimated future amortization expense for intangible assets was as follows (in thousands):
Fiscal Years Ending January 31, |
|
|
|
|
Total |
|
||
2027 |
|
|
|
|
$ |
|
12,094 |
|
2028 |
|
|
|
|
|
|
10,975 |
|
2029 |
|
|
|
|
|
|
10,056 |
|
2030 |
|
|
|
|
|
|
9,654 |
|
2031 |
|
|
|
|
|
|
8,748 |
|
Thereafter |
|
|
|
|
|
|
10,951 |
|
Total |
|
|
|
|
$ |
|
62,478 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2026 | Apr 3, 2026 | Showing above |
| 2025 | Apr 1, 2025 | |
| 2024 | Apr 2, 2024 | |
| 2023 | Apr 7, 2023 | |
| 2022 | Apr 8, 2022 | |
| 2021 | Apr 7, 2021 | |
| 2020 | Apr 14, 2020 | |
| 2019 | Apr 3, 2019 | |
| 2018 | Apr 2, 2018 | |
| 2017 | Apr 11, 2017 | |
| 2016 | Apr 13, 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.