Income Taxes (Tables)
|
12 Months Ended |
Dec. 31, 2015 |
|---|
| Income Tax Disclosure [Abstract] |
|
| Schedule of income before income taxes |
The components of loss before income taxes consist of the following (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, |
|
2015 |
|
2014 |
|
2013 |
Loss before income taxes: |
|
|
|
|
|
|
|
|
Domestic |
$ |
(26,889 |
) |
|
$ |
(26,271 |
) |
|
$ |
(18,450 |
) |
Foreign |
(2,639 |
) |
|
(2,636 |
) |
|
(1,167 |
) |
Total loss before income taxes |
$ |
(29,528 |
) |
|
$ |
(28,907 |
) |
|
$ |
(19,617 |
) |
|
| Schedule of provision for income tax expense (benefit) |
The provision for income tax expense (benefit) consists of the following (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, |
|
2015 |
|
2014 |
|
2013 |
Current: |
|
|
|
|
|
|
|
|
U.S. Federal |
$ |
(3 |
) |
|
$ |
(122 |
) |
|
$ |
(627 |
) |
State |
27 |
|
|
35 |
|
|
28 |
|
Foreign |
(817 |
) |
|
(96 |
) |
|
— |
|
Total current |
(793 |
) |
|
(183 |
) |
|
(599 |
) |
Deferred: |
|
|
|
|
|
|
|
|
U.S. Federal |
1 |
|
|
(5,693 |
) |
|
(2,475 |
) |
State |
(47 |
) |
|
(562 |
) |
|
(322 |
) |
Foreign |
— |
|
|
(126 |
) |
|
— |
|
Total deferred |
(46 |
) |
|
(6,381 |
) |
|
(2,797 |
) |
Total provision for income tax expense (benefit) |
$ |
(839 |
) |
|
$ |
(6,564 |
) |
|
$ |
(3,396 |
) |
|
| Total income tax expense differs from the expected income tax expense |
Total income tax expense (benefit) differs from the expected income tax expense (benefit), computed by applying the federal statutory rate of 34% to earnings before income taxes as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, |
|
2015 |
|
2014 |
|
2013 |
Expected income tax expense (benefit) |
$ |
(10,040 |
) |
|
$ |
(9,828 |
) |
|
$ |
(6,671 |
) |
State income taxes, net of federal tax effect |
(830 |
) |
|
(347 |
) |
|
(549 |
) |
Change in tax rate |
48 |
|
|
20 |
|
|
1 |
|
Federal R&D credit |
(82 |
) |
|
(88 |
) |
|
(57 |
) |
Change in valuation allowance |
9,906 |
|
|
2,957 |
|
|
3,659 |
|
Foreign tax |
80 |
|
|
690 |
|
|
108 |
|
Other, net |
79 |
|
|
32 |
|
|
113 |
|
Total provision for income tax expense (benefit) |
$ |
(839 |
) |
|
$ |
(6,564 |
) |
|
$ |
(3,396 |
) |
|
| Schedule of tax effects of temporary differences that give rise to significant portions of deferred tax assets (liabilities) |
The tax effects of temporary differences that give rise to significant portions of deferred tax assets (liabilities) are presented below (in thousands):
|
|
|
|
|
|
|
|
|
|
December 31, |
|
2015 |
|
2014 |
Deferred tax assets: |
|
|
|
|
|
Inventory provisions and uniform capitalization |
$ |
24 |
|
|
$ |
35 |
|
Accounts receivable allowances |
9 |
|
|
20 |
|
Non-qualified stock option and restricted stock expense |
1,789 |
|
|
2,176 |
|
Deferred maintenance revenue |
76 |
|
|
221 |
|
Loss and credit carryforwards of U.S. subsidiary |
28,366 |
|
|
19,153 |
|
Loss carryforward of foreign subsidiaries |
382 |
|
|
221 |
|
Other accruals and reserves |
1,108 |
|
|
907 |
|
Other |
122 |
|
|
33 |
|
Total deferred tax assets before valuation allowance |
31,876 |
|
|
22,766 |
|
Less valuation allowance |
(28,928 |
) |
|
(19,916 |
) |
Total deferred tax assets |
$ |
2,948 |
|
|
$ |
2,850 |
|
Deferred tax liabilities: |
|
|
|
|
|
Acquired intangibles |
$ |
(3,067 |
) |
|
$ |
(3,865 |
) |
Fixed Assets |
(399 |
) |
|
(100 |
) |
Total deferred tax liabilities |
$ |
(3,466 |
) |
|
$ |
(3,965 |
) |
Total net deferred tax assets (liabilities) |
$ |
(518 |
) |
|
$ |
(1,115 |
) |
|
| Reconciliation of the beginning and ending amounts of gross unrecognized tax benefits |
A reconciliation of the beginning and ending amounts of gross unrecognized tax benefits for the years ended December 31 is presented in the table below (in thousands):
|
|
|
|
|
|
|
|
|
|
Year Ended December 31, |
|
2015 |
|
2014 |
Gross unrecognized tax benefits at beginning of year |
$ |
900 |
|
|
$ |
1,036 |
|
Increases related to: |
|
|
|
|
|
Prior year income tax positions |
2 |
|
|
— |
|
Current year income tax positions |
68 |
|
|
64 |
|
Decreases related to: |
|
|
|
|
|
Prior year income tax positions - closure of statute of limitations |
— |
|
|
(200 |
) |
Gross unrecognized tax benefits at end of year |
$ |
970 |
|
|
$ |
900 |
|
|