Goodwill and Intangible Assets
|12 Months Ended|
Jan. 31, 2021
|Goodwill And Intangible Assets Disclosure [Abstract]|
|Goodwill and Intangible Assets||
Goodwill represents the difference between the purchase price and the estimated fair value of identifiable assets acquired and liabilities assumed. We perform impairment tests related to our goodwill on an annual basis or when we identify certain triggering events or circumstances that would more likely than not reduce the estimated fair value of the goodwill below its carrying amount. We performed our annual assessment of goodwill for both fiscal 2021 and fiscal 2020 and determined there was no impairment loss for either period.
The following table represents the changes in goodwill as of January 31, 2021 and 2020:
An interim test was performed at the end of the second quarter of fiscal 2021, as decline in the stock price and other negative qualitative factors led management to conclude that there was a potential impairment. It was determined it was unlikely that our fair value was less than our carrying value and therefore no impairment was recorded.
We performed another impairment test at the end of our fiscal year ended January 31, 2021 and determined it was unlikely that our fair value was less than our carrying value and therefore no impairment was recorded. If the impacts of COVID-19 are more severe than expected, impairment charges could result in future periods, and such impairment charges could be material.
Intangible Assets, Net
Intangible assets, net, consisted of the following at January 31, 2021 and 2020:
We recognized amortization expense of intangible assets in the following operating expense categories:
Future amortization expense as of January 31, 2021 is $1.3 million to be fully expensed in fiscal 2022.
The entire disclosure for goodwill and intangible assets.
Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef