Payoneer Global Inc. Goodwill & Intangibles Disclosure
NOTE 10 – GOODWILL AND INTANGIBLE ASSETS
Goodwill
The Company conducted the annual impairment test of goodwill as of September 30, 2025. The Company elected to perform a qualitative analysis of fair value of the reporting unit compared to the carrying value of the reporting unit. Based on the results of this analysis, the Company determined that goodwill was not impaired. The Company has not recognized an impairment charge in any of the years ended December 31, 2025, 2024 and 2023. No triggering events have occurred since the annual impairment assessment that would change the Company’s assessment.
There were no changes to the Company’s goodwill balance of $77,785 during the year ended December 31, 2025.
Refer to Note 3 for details around goodwill acquired during the year ended December 31, 2024. The following table presents goodwill balance and adjustments related to those balances during the year ended December 31, 2024.
| | | ||||||
December 31, | Goodwill | December 31, | ||||||
2023 | Acquired | 2024 | ||||||
Total goodwill |
| $ | 19,889 | 57,896 |
| $ | 77,785 |
Intangible assets
Composition of intangible assets, grouped by major classifications, is as follows:
December 31, 2025 | December 31, 2024 | |||||||||||||||||
| Gross Carrying Value | | Accumulated Amortization | | Net Carrying Value | | Gross Carrying Value | | Accumulated Amortization | | Net Carrying Value | |||||||
Internal use software | $ | 236,770 | (134,466) | $ | 102,304 | $ | 175,698 | $ | (86,882) | $ | 88,816 | |||||||
Acquired developed technology |
| 20,269 | (17,650) |
| 2,619 |
| 20,269 |
| (13,111) |
| 7,158 | |||||||
Customer relationships | 6,683 | (910) | 5,773 | 6,683 | (267) | 6,416 | ||||||||||||
Payment license | 97,357 | — | 97,357 | — | — | — | ||||||||||||
Total | $ | 361,079 | $ | (153,026) | $ | 208,053 | $ | 202,650 | $ | (100,260) | $ | 102,390 | ||||||
NOTE 10 – GOODWILL AND INTANGIBLE ASSETS (continued):
As discussed in Note 3, in April 2025, the Company completed its acquisition of PayEco. The Company determined that this transaction is an asset acquisition under ASC 805, as the acquired group of assets does not have a substantive process that together with the assets acquired significantly contribute to the ability to create outputs. Therefore, the business definition was not met. The Company has determined that the license is an indefinite lived intangible asset with a carrying value of $97,357 at December 31, 2025.
The Company conducted the annual impairment test of the payment license as of September 30, 2025. The Company elected to perform a qualitative analysis of fair value of the payment license to its carrying amount. Based on the results of this analysis, the Company determined that the license was not impaired. No triggering events have occurred since the annual impairment assessment that would change the Company’s assessment.
Amortization expense for the years ended December 31, 2025, 2024 and 2023 was $53,692, $37,015 and $19,434, respectively.
At December 31, 2025, 2024 and 2023, the Company evaluated internal use software for impairment and determined to impair internal use software assets no longer in use.
During the years ended December 31, 2025 and 2024, the Company recognized $1,899 and $1,850, respectively, an internal use software assets which were fully impaired. During the year ended December 31, 2023, the Company recognized $293 in impairment of intangibles acquired through the acquisition of the remaining interest in a joint venture as described in Note 11. The acquired intangibles were determined to have no use to the Company post-acquisition. The Company also recognized an insignificant amount of additional impairment related to other intangible assets. The impairments are presented under Depreciation and amortization expenses.
Expected future intangible asset amortization as of December 31, 2025, excluding capitalized internal use software of $21,412 not yet placed in service as of that date, was as follows:
Fiscal years |
| | |
2026 | $ | 48,530 | |
2027 | 28,315 | ||
2028 | 8,312 | ||
2029 and thereafter | 4,127 | ||
Total | $ | 89,284 |
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 27, 2025 | |
| 2023 | Feb 28, 2024 | |
| 2022 | Feb 28, 2023 | |
| 2021 | Mar 3, 2022 | |
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.