Company: LTRYW
Filing Date: 2025-05-21
Form Type: 10-Q
Source: 0001641172-25-011865
Chunk: 18

Company: Lottery.com Inc.
Filing Date: 2025-05-21
Form: 10-Q
Item: Part I, Item 1
Chunk 18
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 assets.

The
Company reviewed the goodwill and intangibles acquired in the acquisitions of TinBu, LLC and Global Gaming Enterprises, Inc., the domain
names and software purchased from third parties, and software developed in-house. Each of TinBu, Global Gaming, and Lottery. com is considered
a reporting unit for application of the annual review for potential impairment.

The
company performed a valuation of each of the reporting units described above, using discounted cash flow methodologies and estimates
of fair market value. Given the results of the quantitative assessment, the company determined that the goodwill for the TinBu and Global
Gaming reporting units was impaired. For the year ended December 31, 2023, the company recognized goodwill impairment charges of $5.65
million for the TinBu reporting unit and $1.06 million for the Global Gaming reporting unit. The total impairment charges related to
goodwill were $6.71 million. In addition, it was determined that there was an impairment of certain intangible assets related to Global
Gaming. For the year ended December 31, 2023, the Company recorded impairment charges of $488 thousand to trade names and trademarks
and $312 thousand to technology acquired from Global Gaming. The total impairment charges to intangible assets were $800 thousand.

Similarly,
the company performed an impairment analysis for the three months ended September 30 th

  F-17  

Note 8. Intangible
assets, net

Gross
carrying values and accumulated amortization of intangible assets:

                          March                                                                                                         
                          31, 2025                                                                                                      
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
                          Useful                                                                                                        
                          Life                                                                                                          
  Amortizing                                                                                                                            
  Customer                6                1,352,200       (1,321,450          30,750       1,352,200       (1,318,033          34,167  
  Trade                   6                2,577,000       (2,364,750         212,250       2,577,000       (2,314,769         262,231  
  Technology              6                4,754,800       (2,742,979       2,011,821       3,254,800       (2,737,567         517,233  
  Software                6               14,450,000