TILT Holdings Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Goodwill (Tables)

Goodwill (Tables)

12 Months Ended

Dec. 31, 2022

For the purposes of impairment testing, goodwill is allocated to the Company’s reporting units as follows:


			Standard		Standard
	Jupiter		Farms PA		Farms OH		Total
Balance, January 1, 2021	$	88,387	$	10,306	$	—	$	98,693
Business acquisitions		—		—		1,380		1,380
Impairment		(25,040)		(4,488)		—		(29,528)
Balance, December 31, 2021	$	63,346	$	5,819	$	1,380	$	70,545
Impairment		(45,625)		(2,789)		(1,380)		(49,794)
Balance, December 31, 2022	$	17,721	$	3,030	$	—	$	20,751

Schedule of key assumptions used in determining the recoverable amount of reporting unit

The following tables details the key assumptions used in determining the recoverable amounts during the years ended December 31, 2022 and 2021:


			Standard		Standard
	Jupiter		Farms PA		Farms OH

Terminal value growth rate		3.0%		3.0%		2.0%
Discount rate		24.5%		35.9%		30.0%
Projected revenue growth rate*		10.9%		25.4%		29.2%
Fair value	$	102,500	$	24,150	$	1,710


			Standard
	Jupiter		Farms PA

Terminal value growth rate		3.0%		3.0%
Discount rate		24.7%		31.5%
Projected revenue growth rate*		20.2%		33.6%
Fair value	$	177,733	$	38,917

_____________

*Projected revenue growth rate averaged over the next ten years.

- Definition

Tabular disclosure of goodwill by reportable segment and in total which includes a rollforward schedule.

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+ Details