As disclosed in Note 2, Business Combination, to these unaudited condensed consolidated financial statements, during the fiscal three months ended April 4, 2026 the carrying value of goodwill was reduced by $0.9 million to reflect a revision in the consideration paid for the acquisition of Disdero. During this same fiscal reporting period, the only other change to the carrying values of the Company’s Goodwill and Intangible assets, net, was the scheduled amortization of definite-lived intangible assets. Amortization expense for intangible assets was $2.1 million and $1.0 million for the fiscal three months ended April 4, 2026 and March 29, 2025, respectively.

There were no goodwill impairment charges recorded in the fiscal three months ended April 4, 2026 or March 29, 2025, and there were no accumulated goodwill impairment balances as of April 4, 2026 or January 3, 2026. Non-cash provisions for the impairment of goodwill and/or other intangible assets could arise in future reporting periods due to sustained and significant changes in circumstances, such as declines in profitability and cash flow due to long-term deterioration in macroeconomic and industry conditions, the loss of key customers, a sustained material decrease in the Company’s market capitalization, or other unanticipated events.


	Total Carrying Amount
	(In thousands)
Balance as of January 3, 2026	$	67,226





Disdero adjustment (see Note 2 to these unaudited condensed consolidated financial statements)	(859)


Balance as of April 4, 2026	$	66,367