Quarterly report pursuant to Section 13 or 15(d)


6 Months Ended
Jun. 30, 2022
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill Goodwill
The following table presents goodwill by reportable segment as of June 30, 2022:

(in thousands) Goodwill, gross Accumulated Impairment Loss Goodwill, net
BurgerFi $ 123,981  $ (123,981) $ — 
Anthony's 80,684  (37,663) 43,021 
Total $ 204,665  $ (161,644) $ 43,021 

The Company conducts its goodwill impairment test annually in December, or more frequently if indicators of impairment exist. The Company evaluates it's goodwill based on its two reporting units, Anthony's and BurgerFi. As a result of a significant sustained decline in the Company’s share price and market capitalization during the six months ended June 30, 2022, the Company conducted its impairment test as of June 30, 2022. The impairment test was conducted in accordance with ASC 350, Intangibles – Goodwill and Other (“ASC 350”) for the reporting units' goodwill.

ASC 350 requires goodwill and other indefinite lived assets to be tested for impairment at the reporting unit level. For ASC 350 testing purposes, the Company compared the fair value of the reporting units with its carrying amounts. The fair value of the reporting units were estimated giving consideration to the Income Approach, including the discounted cash flow method, and the Market Approach, including the similar transactions method and guideline public company method. Significant inputs and assumptions in the ASC 350 analysis included forecasts (e.g., revenue, operating costs, capital expenditures, etc.), discount rate, long-term growth rate, tax rates, etc. for the reporting units under the Income Approach and market-based enterprise value to revenue multiples under the Market Approach.
As a result of the ASC 350 analysis, the Company recognized a non-cash pre-tax impairment loss of $55.2 million during the three and six months ended June 30, 2022 to write down the remaining carrying value of goodwill for the BurgerFi brand by $17.5 million and the carrying value of goodwill for the Anthony's brand by $37.7 million. The non-cash impairment loss is included in the unaudited condensed consolidated statement of operations under the caption “goodwill impairment” for the three and six months ended June 30, 2022.