Goodwill and Intangible Assets

3 Months Ended

Jun. 30, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill

Changes in the carrying amount of goodwill by segment follows:


	ODS		AGP		Total
Goodwill as of March 31, 2025	$	80,176	$	141,565	$	221,741






Foreign currency translation	$	—	$	2,195	$	2,195
Goodwill as of June 30, 2025	$	80,176	$	143,760	$	223,936

The Company evaluates goodwill for impairment at least annually or upon the occurrence of events or circumstances that indicate they would more likely than not reduce the fair value of a reporting unit below its carrying value.

During the three months ended June 30, 2025, no occurrence of events or circumstances indicated they would more likely than not reduce the fair value of a reporting unit below its carrying value. As such, no impairment of goodwill was recognized during the period.

During the year ended March 31, 2025, the Company sustained a decline in its forecasted operating trends, which was identified as a potential indicator of impairment for the Company’s AGP reporting unit. As a result, the Company performed a quantitative goodwill impairment evaluation over its reporting units ODS and AGP to determine if their respective fair values were below their carrying values. Based on the evaluation, the Company determined that neither reporting unit was impaired, and no impairment of goodwill was recognized for either the ODS or AGP reporting unit during the fiscal year 2025.

Intangible Assets

Finite-lived intangible assets have been assigned an estimated finite useful life and are amortized on a straight-line basis over the number of years that approximate their respective useful lives. The Company evaluates intangible assets other than goodwill for impairment at least annually or upon the occurrence of events or circumstances that indicate the carrying value of an asset may not be recoverable. In determining whether an impairment exists, the Company considers factors such as changes in the use of the asset, changes in the legal or business environment, and current or historical operating or cash flow losses. Based on the analysis performed, no impairment was identified during the three months ended June 30, 2025 or the fiscal year ended March 31, 2025.

The components of intangible assets were as follows as of the periods indicated:


	As of June 30, 2025

	Weighted-Average Remaining Useful Life	Cost		Accumulated Amortization		Net
Customer relationships	11.05 years	$	138,492	$	(41,900)	$	96,592
Developed technology	3.10 years	145,744		(84,080)		61,664
Trade names	0.08 years	70,242		(68,706)		1,536
Publisher relationships	15.64 years	109,839		(23,287)		86,552
Total		$	464,317	$	(217,973)	$	246,344


	As of March 31, 2025
	Weighted-Average Remaining Useful Life	Cost		Accumulated Amortization		Net
Customer relationships	11.29 years	$	137,094	$	(39,153)	$	97,941
Developed technology	3.34 years	144,948		(78,526)		66,422
Trade names	0.33 years	69,966		(63,844)		6,122
Publisher relationships	15.89 years	108,879		(21,667)		87,212
Total		$	460,887	$	(203,190)	$	257,697

The Company recorded amortization expense of $13,451 during the three months ended June 30, 2025, and $15,204 during the three months ended June 30, 2024, in general and administrative expenses on the condensed consolidated statements of operations and comprehensive (loss) income.

During the year ended March 31, 2025, certain fully amortized intangible assets of approximately $31,000 were eliminated from gross intangible assets and accumulated amortization, with no corresponding impact to the income statement.

Estimated amortization expense in future fiscal years is expected to be:


Fiscal year 2026	$	28,169
Fiscal year 2027	35,510
Fiscal year 2028	35,510
Fiscal year 2029	18,528
Fiscal year 2030	14,710
Thereafter	113,917
Total	$	246,344

Digital Turbine, Inc. 10-Q