INCOME TAXES (Tables)
|
12 Months Ended |
Dec. 31, 2023 |
|---|
| INCOME TAXES |
|
| Summary of income tax expense |
Income tax (benefit) expense consists of (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
Current |
|
Deferred |
|
Total |
Year Ended December 31, 2023: |
|
|
|
|
|
|
|
|
|
U.S. federal |
|
$ |
(1,570) |
|
$ |
(806) |
|
$ |
(2,376) |
U.S. state |
|
|
128 |
|
|
(110) |
|
|
18 |
Foreign |
|
|
242 |
|
|
- |
|
|
242 |
Total income tax (benefit) expense |
|
$ |
(1,200) |
|
$ |
(916) |
|
$ |
(2,116) |
|
|
|
|
|
|
|
|
|
|
|
|
Current |
|
Deferred |
|
Total |
Year Ended December 31, 2022: |
|
|
|
|
|
|
|
|
|
U.S. federal |
|
$ |
10,537 |
|
$ |
(862) |
|
$ |
9,675 |
U.S. state |
|
|
3,015 |
|
|
(405) |
|
|
2,610 |
Foreign |
|
|
2,856 |
|
|
(1,120) |
|
|
1,736 |
Total income tax expense (benefit) |
|
$ |
16,408 |
|
$ |
(2,387) |
|
$ |
14,021 |
|
|
|
|
|
|
|
|
|
|
|
|
Current |
|
Deferred |
|
Total |
Year Ended December 31, 2021: |
|
|
|
|
|
|
|
|
|
U.S. federal |
|
$ |
11,003 |
|
$ |
(1,899) |
|
$ |
9,104 |
U.S. state |
|
|
1,780 |
|
|
(402) |
|
|
1,378 |
Foreign |
|
|
2,068 |
|
|
(891) |
|
|
1,177 |
Total income tax expense (benefit) |
|
$ |
14,851 |
|
$ |
(3,192) |
|
$ |
11,659 |
|
| Summary of tax rate reconciliation |
The provision for income taxes on pre-tax income differs from the amount computed by applying the U.S. federal statutory income tax rate of 21.0% for the years ended December 31, 2023, 2022 and 2021 due to the following (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
2023 |
|
2022 |
|
2021 |
Provision for income tax at the federal statutory rate |
|
$ |
(1,613) |
|
$ |
12,155 |
|
$ |
10,033 |
State taxes |
|
|
165 |
|
|
1,959 |
|
|
1,357 |
Permanent differences |
|
|
(328) |
|
|
218 |
|
|
755 |
Change in valuation allowance |
|
|
(1,313) |
|
|
17 |
|
|
1,012 |
Executive compensation |
|
|
3,016 |
|
|
2,562 |
|
|
1,934 |
Return to provision |
|
|
151 |
|
|
591 |
|
|
659 |
FDII deduction |
|
|
- |
|
|
(3,014) |
|
|
(4,093) |
R&D credit |
|
|
(1,174) |
|
|
- |
|
|
- |
Stock-based compensation |
|
|
(1,020) |
|
|
- |
|
|
- |
Other |
|
|
- |
|
|
(467) |
|
|
2 |
Total income tax (benefit) expense |
|
$ |
(2,116) |
|
$ |
14,021 |
|
$ |
11,659 |
|
| Summary of significant components of deferred taxes |
|
|
|
|
|
|
|
|
|
2023 |
|
2022 |
Deferred tax assets: |
|
|
|
|
|
|
Net operating losses |
|
$ |
2,005 |
|
$ |
94 |
Foreign tax credit carryforwards |
|
|
1,109 |
|
|
67 |
Inventory basis differences |
|
|
9,269 |
|
|
10,511 |
Maintenance deposit payments |
|
|
- |
|
|
154 |
Deferred revenue |
|
|
726 |
|
|
328 |
Allowance for doubtful accounts |
|
|
237 |
|
|
285 |
Start up costs |
|
|
634 |
|
|
688 |
Stock-based compensation |
|
|
966 |
|
|
1,408 |
Outside basis difference |
|
|
- |
|
|
1,313 |
Accrued expenses |
|
|
22 |
|
|
908 |
Section 174 capitalization |
|
|
2,971 |
|
|
1,722 |
Lease obligations |
|
|
7,010 |
|
|
7,922 |
R&D credit |
|
|
434 |
|
|
- |
Other |
|
|
445 |
|
|
190 |
Total deferred tax assets |
|
|
25,828 |
|
|
25,590 |
Deferred tax liabilities: |
|
|
|
|
|
|
Fixed assets |
|
|
(6,489) |
|
|
(5,167) |
Right-of-use assets |
|
|
(6,659) |
|
|
(7,659) |
Intangible assets |
|
|
(477) |
|
|
(164) |
Total deferred tax liabilities |
|
|
(13,625) |
|
|
(12,990) |
Valuation Allowances |
|
|
- |
|
|
(1,313) |
Deferred income taxes, net |
|
$ |
12,203 |
|
$ |
11,287 |
|