GOODWILL AND INTANGIBLE ASSETS, NET
The following table presents the changes in the Company’s Goodwill balance:
Balance—December 29, 2024
$35,970 
Disposal of Goodwill in Spyce Transaction
(8,177)
Balance—December 28, 2025
$27,793 

The change in the goodwill balance recognized during the fiscal year ended December 28, 2025 is attributable to the Company’s sale of Spyce. See Note 16 for further details. There was no change in the carrying value of Goodwill during the fiscal year ended December 29, 2024.

The following table presents the Company’s intangible assets, net balances:
(dollar amounts in thousands)December 28,
2025
December 29,
2024
Internal use software$52,524 $45,933 
Developed technology— 20,050 
Total intangible assets52,524 65,983 
Accumulated amortization(42,100)(41,943)
Total$10,424 $24,040 

The change in the developed technology intangible asset balance is attributable to the Company’s sale of Spyce, wherein the balance has been reclassified to assets held for sale on the consolidated balance sheets for the fiscal year ended December 28, 2025. See Note 16 for further details.

Amortization expense for the fiscal years ended December 28, 2025, December 29, 2024, and December 31, 2023 was $10.3 million, $11.0 million, and $10.0 million, respectively. Estimated amortization for each of the next five years is as follows:
(dollar amounts in thousands)
2026$5,851 
20273,506 
20281,067 
Total
$10,424 

Historical Timeline

Fiscal YearFiled
2025Feb 27, 2026Showing above
2024Feb 27, 2025
2023Feb 29, 2024
2022Feb 23, 2023

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.