GOODWILL, NET AND OTHER INTANGIBLE ASSETS, NET

8. GOODWILL, NET AND INTANGIBLE ASSETS, NET

The Company performs an annual impairment assessment as of October 1 of each year. As of March 31, 2026 the Company did not identify any triggering events indicating the fair value of the Company’s reporting units were more likely than not to be less than its carrying value. Based on this assessment, no goodwill impairment losses were recognized for the three months ended March 31, 2026.

As of December 31, 2025, an overall decline in revenue, forecasted revenue and operating profit margin brought on by declining industry and macro-economic conditions created a triggering event indicating the fair value of each of the Cable Television and Reach Media reporting units were more likely than not to be less than its’ carrying value. As a result, the Company performed an interim quantitative impairment assessment for the Cable Television and Reach Media reporting units to determine whether they were impaired. The Company estimated the fair value of the reporting units by utilizing a discounted cash flow model. The key assumptions used in the discounted cash flow model for goodwill include projected revenues, operating profit margins, terminal rate and discount rate. For Cable Television, the Company utilized a market value approach to supplement the discounted cash flow model. The market value approach utilized average EBITDA multiples from guideline public companies. Based on this assessment, the Company recognized impairment losses of approximately $53.1 million, and $0.5 million to reduce the carrying value of our Cable Television and Reach Media goodwill balances, respectively, for the year ended December 31, 2025.

The Company continues to monitor forecasted revenue and operating profit margin performance. Given the recent impairment losses recognized as of December 31, 2025 and to the extent there is a potential recession that further disrupts the economic environment impacting the financial performances, market shares, or changes in interest rates as well as decline in forecasted in operating profit margin performance, these events could negatively affect the key assumptions and result in significantly lower fair value of the reporting units and result in future impairment charges.

Radio Broadcasting Licenses, Net

The following table presents the changes in the Company’s Radio Broadcasting Licenses, Net carrying value during the three months ended March 31, 2026.



	(In thousands)
Balance as of January 1, 2026	$	121,014

Assets-held-for sale (See Note 7 - Dispositions and Acquisitions)	(123)
Amortization expense	(3,845)
Balance as of March 31, 2026	$	117,046

Future estimated amortization expense related to the broadcasting licenses for the years 2026 through 2031, and thereafter, is as follows:


	(In thousands)
Remainder of 2026	$	10,301
2027	13,625
2028	12,634
2029	11,642
2030	10,651
2031	9,660
Thereafter	48,533

TV One Trade Name, Net

The following table presents the changes in the Company’s TV One Trade Name during the three months ended March 31, 2026.


	(In thousands)
Balance as of January 1, 2026	$	24,068
Amortization expense	(602)
Balance as of March 31, 2026	$	23,466

Future estimated amortization expense related to the TV One Trade Name for the years 2026 through 2031 and thereafter is as follows:


	(In thousands)
Remainder of 2026	$	1,805
2027	2,281
2028	2,153
2029	2,027
2030	1,900
2031	1,773
Thereafter	11,527