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Goodwill and Other Intangible Assets | 12 Months Ended
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Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract] |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill and other intangible assets consisted of the following (in thousands):
| September 30,
| 2024 |  | 2023
Indefinite useful lives: |  |  |
Goodwill | $ | 61,911 |  |  | $ | 70,772 |
Licenses | 124,492 |  |  | 135,735 |
Tradename and domain name | 19,118 |  |  | 19,811 |
| 205,521 |  |  | 226,318 |
| Amortization Period |  |  |  |
Definite useful lives: |  |  |  |  |
Discounted leases | Lease term |  | 63 |  |  | 811 |
Non-compete agreements | 5 years |  | — |  |  | 3 |
Software | 5 years |  | 40 |  |  | 55 |
Licenses | Lease term |  | 19,732 |  |  | 22,597 |
Leases acquired in-place | Lease term |  | 16 |  |  | 133 |
|  |  | 19,851 |  |  | 23,599 |
Total goodwill and other intangible assets |  |  | $ | 225,372 |  |  | $ | 249,917 |
Substantially all of our goodwill and other intangible assets belong to our Nightclubs segment.
| 2024 |  | 2023
| Definite- Lived Intangibles |  | Indefinite- Lived Intangibles |  | Goodwill |  | Definite- Lived Intangibles |  | Indefinite- Lived Intangibles |  | Goodwill
Beginning balance | $ | 23,599 |  |  | $ | 155,546 |  |  | $ | 70,772 |  |  | $ | 26,935 |  |  | $ | 117,114 |  |  | $ | 67,767 |
Acquisitions | 23 |  |  | — |  |  | — |  |  | 2,005 |  |  | 43,948 |  |  | 7,244 |
Impairment | (590) |  |  | (11,936) |  |  | (8,861) |  |  | (1,813) |  |  | (5,516) |  |  | (4,239) |
Dispositions | (687) |  |  | — |  |  | — |  |  | — |  |  | — |  |  | — |
Amortization | (2,494) |  |  | — |  |  | — |  |  | (3,528) |  |  | — |  |  | — |
Ending balance | $ | 19,851 |  |  | $ | 143,610 |  |  | $ | 61,911 |  |  | $ | 23,599 |  |  | $ | 155,546 |  |  | $ | 70,772 |
Definite-lived intangible assets consist of the following (in thousands):
| September 30,
| 2024 |  | 2023
Licenses | $ | 27,725 |  |  | $ | 27,725 |
Software | 2,355 |  |  | 2,332 |
Leases acquired in-place | 826 |  |  | 826 |
Discounted leases | 297 |  |  | 1,076 |
Non-compete agreements | 1,100 |  |  | 1,100 |
Distribution agreements | 317 |  |  | 317 |
Total definite-lived intangibles | 32,620 |  |  | 33,376 |
Less accumulated amortization and impairment | (12,769) |  |  | (9,777) |
Definite-lived intangibles, net | $ | 19,851 |  |  | $ | 23,599 |
As of September 30, 2024 and 2023, the accumulated impairment balance of indefinite-lived intangibles was $28.8 million and $16.9 million, respectively, while the accumulated impairment balance of goodwill was $34.3 million and $25.4 million, respectively. As of September 30, 2024 and 2023, the gross amount of goodwill amounted to $96.2 million and $96.2 million, respectively. Future amortization expense related to definite-lived intangible assets that are subject to amortization at September 30, 2024 is: 2025 - $2.3 million; 2026 - $2.3 million; 2027 - $2.2 million; 2028 - $1.5 million; 2029 - $1.5 million; and thereafter - $10.2 million. Indefinite-lived intangible assets consist of SOB licenses, liquor licenses, and tradenames, which were obtained as part of acquisitions. These licenses are the result of zoning ordinances, thus are valid indefinitely, subject to filing annual renewal applications, which are done at minimal costs to the Company. We considered certain licenses that are associated with leased locations as definite-lived. The discounted cash flow of the income approach method was used in calculating the value of these licenses in a business combination, while the relief-from-royalty method was used in calculating the value of tradenames. During the fiscal year ended September 30, 2024, the Company recognized a $11.8 million impairment related to the SOB licenses of seven clubs, a $8.9 million impairment related to goodwill of four reporting units, and a $693,000 impairment related to tradename of one club. During the fiscal year ended September 30, 2023, the Company recognized a $6.5 million impairment related to the SOB licenses of eight club and a $4.2 million impairment related to goodwill of four reporting unit. During the fiscal year ended September 30, 2022, the Company recognized a $293,000 impairment related to one club's SOB licenses and a $566,000 impairment related to the goodwill of one reporting unit.

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 30 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-30/tableOfContent Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 350 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/350-20/tableOfContent + Details
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