Hanmi Financial Corporation Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Goodwill and Other Intangibles

Goodwill and Other Intangibles

12 Months Ended

Dec. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Note 7 — Goodwill and other intangibles

The third-party originators intangible of $483,000 and goodwill of $11.0 million were recorded as a result of the acquisition of an equipment financing agreements portfolio in 2016. The core deposit intangible of $2.2 million was recognized for the deposits acquired in a 2014 acquisition. The Company's intangible assets were as follows for the periods indicated:


		December 31, 2023							December 31, 2022
	Amortization Period	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount
		(in thousands)
Core deposit intangible	10 years	$	2,213	$	(2,145	)	$	68	$	2,213	$	(2,031	)	$	182
Third-party originators intangible	7 years		483		(483	)		—		483		(471	)		12
Goodwill	N/A		11,031		—			11,031		11,031		—			11,031
Total intangible assets		$	13,727	$	(2,628	)	$	11,099	$	13,727	$	(2,502	)	$	11,225

The Company performed an impairment analysis in the fourth quarter of 2023 and determined no impairment existed as of December 31, 2023. No triggering event occurred as of, or subsequent to December 31, 2023, that would require a reassessment of goodwill and other intangible assets. There were no impairment charges related to intangible assets recorded in earnings in the three years ended December 31, 2023.