Turtle Beach Corp Goodwill & Intangibles Disclosure
Note 6. Goodwill and Other Intangible Assets
Intangible Assets
Identifiable intangible assets, and related accumulated amortization, as of December 31, 2025 and 2024 consist of (in thousands):
|
|
December 31, 2025 |
|
|||||||||
|
|
Gross |
|
|
Accumulated |
|
|
Net Book |
|
|||
|
|
|
|
|||||||||
Customer relationships |
|
$ |
10,285 |
|
|
$ |
7,034 |
|
|
$ |
3,251 |
|
Tradenames |
|
|
18,293 |
|
|
|
6,681 |
|
|
|
11,612 |
|
Developed technology |
|
|
27,706 |
|
|
|
8,273 |
|
|
|
19,433 |
|
Patent and trademarks |
|
|
784 |
|
|
|
736 |
|
|
|
48 |
|
Total Intangible Assets |
|
$ |
57,068 |
|
|
$ |
22,724 |
|
|
$ |
34,344 |
|
|
|
December 31, 2024 |
|
|||||||||
|
|
Gross |
|
|
Accumulated |
|
|
Net Book |
|
|||
|
|
|
|
|||||||||
Customer relationships |
|
$ |
10,880 |
|
|
$ |
6,533 |
|
|
$ |
4,347 |
|
Tradenames |
|
|
18,293 |
|
|
|
4,451 |
|
|
|
13,842 |
|
Developed technology |
|
|
27,706 |
|
|
|
3,656 |
|
|
|
24,050 |
|
Patent and trademarks |
|
|
784 |
|
|
|
625 |
|
|
|
159 |
|
Total Intangible Assets |
|
$ |
57,663 |
|
|
$ |
15,265 |
|
|
$ |
42,398 |
|
Amortization expense related to definite lived intangible assets was $8.1 million, $7.0 million and $1.0 million for the years ended December 31, 2025, 2024 and 2023, respectively.
As of December 31, 2025, estimated annual amortization expense related to definite lived intangible assets in future periods is as follows (in thousands):
|
|
|
|
|
2026 |
|
$ |
7,763 |
|
2027 |
|
|
7,590 |
|
2028 |
|
|
7,590 |
|
2029 |
|
|
7,590 |
|
2030 |
|
|
3,346 |
|
Thereafter |
|
|
465 |
|
Total |
|
$ |
34,344 |
|
All goodwill is attributable to the gaming accessories reporting unit. Changes in the carrying values of goodwill for twelve months ended December 31, 2025 are as follows (in thousands):
|
|
|
|
|
Balance as of January 1, 2025 |
|
$ |
52,942 |
|
Purchase price adjustment |
|
|
(2,514 |
) |
Balance as of December 31, 2025 |
|
$ |
50,428 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 12, 2026 | Showing above |
| 2024 | Mar 17, 2025 | |
| 2023 | Mar 13, 2024 | |
| 2022 | Mar 29, 2023 | |
| 2021 | Mar 2, 2022 | |
| 2020 | Mar 4, 2021 | |
| 2019 | Mar 13, 2020 | |
| 2018 | Mar 18, 2019 | |
| 2017 | Mar 7, 2018 | |
| 2016 | Mar 8, 2017 | |
| 2015 | Mar 30, 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.