Company: MGLD
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001493152-25-021259
Chunk: 45

Company: Marygold Companies, Inc.
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 8
Chunk 45
---
as of June 30, 2025, (“Target Balance Sheet”), and the schedule of Brigadier’s audited current
assets and liabilities as of June 30, 2025, (“Final Balance Sheet”), including adjustments in the event accounts receivable
become uncollectable, cash balances increase or decrease, and/or any liabilities arise prior to Closing but which were not set forth
on such Target Balance Sheet. After a comparison of the Final Balance Sheet and the Target Balance Sheet, it was determined and agreed
that an upwards adjustment of $0.1
million be added to the purchase price resulting in the final
payment amount being $1.1
million.

The
audit committee of the Company continued to have oversight of the transaction through the Closing Date of July 1, 2025, and the final
payment adjustment procedures concluding on September 1, 2025. While the Chief Operating Decision Maker evaluated the security systems
segment for operational purposes through June 30, 2025, this was not considered a significant operation to the Company during the years
ended June 30, 2025 and 2024, respectively. As of June 30, 2025, Brigadier had total assets of $1.7
million and total liabilities of $0.3
million. The Company received total
proceeds of $2.3
million for the sale and had a cost
basis in Brigadier of $1.8
million and thus recorded a gain on
the sale of Brigadier of $0.5
million.

    12

NOTE
7. INTANGIBLE ASSETS

SCHEDULE OF   INTANGIBLE ASSETS 

    September 30, 2025 
  
    Intangible Assets 
    Weighted Average Remaining Life
                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           (in years)  
    Intangible Assets (Gross)  
    Accumulated Amortization  
    Intangible Asset (Net) 

    (dollars in thousands) 
  
    Customer relationships 
     4.5  
    $1,039  
    $(397) 
    $642 
  
    Brand name – indefinite lived 
     N/A  
     206  
     -  
     206 
  
    Internally developed software 
     0.7  
     218  
     (163) 
     55 
  
    Total 
        
    $1,