WTC 0.43% $132.20 wisetech global limited

Ann: WTC continued strong growth, revenue up 23%, EBITDA up 17%, page-7

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    Can anyone explain how they can book a fair value gain on contingent consideration of $111m (essentially all of their EPS growth) to the P&L without impacting goodwill (i.e. the purchase price of the businesses acquired). This was a discount or amounts they don't have to pay for business acquisitions so logic would say you would have to reduce goodwill i.e. the purchase price, rather than treat this as profit. Note this is non cash profit too.

    If you were to treat his as a discount, how is the goodwill not impaired to the same value?
 
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