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Note 10 - Goodwill and Other Intangible Assets | 12 Months Ended
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Sep. 30, 2023
Notes to Financial Statements |
Goodwill and Intangible Assets Disclosure [Text Block] | 10. Goodwill and Other Intangible Assets At September 30, 2023, the Company had goodwill of $0.7 million and other intangible assets, net of $0.5 million attributable to its Adjacent Markets reporting unit; other intangible assets, net of $3.0 million attributable to its Emerging Markets reporting unit; and other intangible assets, net of $1.3 million attributable to its Oil and Gas Markets reporting unit. Goodwill represents the excess cost of a business acquired over the fair market value of identifiable net assets at the date of acquisition. At September 30, 2023, in light of the Company's historical losses on its Emerging Markets reporting unit, the Company preformed a recoverability assessment on the long-lived assets of its Emerging Markets asset group in which its carrying value was compared to estimated undiscounted cash flows over the remaining useful life of the asset group's primary asset, its developed technology. The Company determined that no impairment was necessary as the future undiscounted cash flows exceeded the carrying value. Key assumptions used in the analysis include revenue, gross margin and cash flow projections. The estimated cash flows include obtaining additional contracts with CBP and other current customers. The Emerging Markets asset group could incur impairment charges in the future to its other intangible assets if it is unable to obtain additional contracts from the CBP or other customers. At September 30, 2022, the Company assessed the goodwill associated with both its Adjacent Markets and Emerging Markets reporting units for impairment. As a result of the assessment, the Company determined that the fair value of its Emerging Markets reporting unit was less than its carrying amount and recorded an impairment charge of $4.3 million for the entire goodwill associated with this reporting unit for the fiscal year ended September 30, 2022. No impairment charge to the Adjacent Markets asset group was necessary for the fiscal year ended September 30, 2022 as its future undiscounted cash flows exceeded the carrying value. Also see Note 1 to these consolidated financial statements. The Company’s consolidated goodwill and other intangible assets consisted of the following (in thousands):
|  | Weighted-Average Remaining Useful Lives (in years) |  |  | AS OF SEPTEMBER 30, |
|  |  |  |  | 2023 |  |  | 2022 |
Goodwill: |  |  |  |  |  |  |  |  |  |  |
Emerging Markets reporting unit |  |  |  |  | $ | 4,336 |  |  | $ | 4,336 |
Adjacent Markets reporting unit |  |  |  |  |  | 736 |  |  |  | 736 |
Total goodwill |  |  |  |  |  | 5,072 |  |  |  | 5,072 |
Accumulated impairment losses |  |  |  |  |  | (4,336 | ) |  |  | (4,336 | )
|  |  |  |  | $ | 736 |  |  | $ | 736 |
Other intangible assets: |  |  |  |  |  |  |  |  |  |  |
Developed technology |  | 13.2 |  |  | $ | 6,475 |  |  | $ | 6,475 |
Customer relationships |  | — |  |  |  | 3,900 |  |  |  | 3,900 |
Trade names |  | 0.2 |  |  |  | 2,022 |  |  |  | 2,022 |
Non-compete agreements |  | 0.2 |  |  |  | 186 |  |  |  | 186 |
Total other intangible assets |  | 6.8 |  |  |  | 12,583 |  |  |  | 12,583 |
Accumulated amortization |  |  |  |  |  | (7,778 | ) |  |  | (7,010 | )
|  |  |  |  | $ | 4,805 |  |  | $ | 5,573 |
Other intangible assets amortization expense for fiscal years 2023 and 2022 was $0.8 million and $1.7 million, respectively. As of September 30, 2023, future estimated amortization expense of other intangible assets is as follows (in thousands):
For fiscal years ending September 30, |  |  |  |
2024 |  |  | 395 |
2025 |  |  | 381 |
2026 |  |  | 374 |
2027 |  |  | 360 |
2028 |  |  | 360 |
Thereafter |  |  | 2,935 |
|  | $ | 4,805 |

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- Definition The entire disclosure for goodwill and intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 350 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//350/tableOfContent + Details
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