Company: NPWR-WT
Filing Date: 2025-08-11
Form Type: 10-Q
Source: 0001845437-25-000053
Chunk: 44

Company: NET Power Inc.
Filing Date: 2025-08-11
Form: 10-Q
Item: Part I, Item 1
Chunk 44
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 Company’s own historical volatility, implied volatility on the Company’s own common stock options, and the implied volatility of the Public Warrants.The following table contains the key inputs used in the valuations of the Earnout Shares:June 30, 2025December 31, 2024Term (in years)0.941.43Volatility85.0 %59.7 %Risk-free rate3.9 %4.1 %

NOTE 5 — Goodwill and Intangible AssetsGoodwillGoodwill represented the future economic benefits derived from the Company’s unique market position, the growth attributable to the Net Power Cycle and the Company’s assembled workforce, none of which are individually and separately recognized as intangible assets. Goodwill was allocated to the Company’s sole reportable segment and reporting unit.The following table presents the changes to goodwill included in the condensed consolidated balance sheets:June 30,December 31,$ in thousands20252024Balance at the beginning of the period$359,847 $423,920 Impairment(359,847)— Measurement adjustments— (64,073)Balance at the end of the period$— $359,847 

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In March 2025, the Company assessed its goodwill for impairment. Due to a change in the Company’s business plan, as discussed below, and related sustained decrease in the Company’s market capitalization, the Company concluded that it was more likely than not that the fair value of its goodwill was less than its carrying amount as of March 31, 2025. As a result, the Company fully impaired its goodwill and recognized an impairment of $359.8 million during the six months ended June 30, 2025, which is included in Goodwill impairment and other charges on the condensed consolidated statements of operations and comprehensive loss.During the second quarter of 2024, the Company completed its estimate of deferred taxes as of the Closing Date and finalized its purchase price allocation, which resulted in a measurement adjustment that reduced goodwill by $64.1 million. Definite-Lived Intangible AssetsThe following tables summarize the Company’s definite-lived intangible assets included in the condensed consolidated balance sheets:June 30,December 31,20252024$ in thousandsGross AmountAccumulated AmortizationNet AmountGross AmountAccumulated AmortizationNet AmountDeveloped technology$1,345,000 $(138,610)$1,206,390 $1,345,