Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Income (Loss) before Income Tax

Pre-tax income (loss) was attributed to the following jurisdictions:



	Year Ended December 31,
(In thousands)	2016		2015			2014
Domestic operations	$	165	$	(6,857	)	$	(2,793	)
Foreign operations	25,023		42,832			43,244
Total	$	25,188	$	35,975		$	40,451

Schedule of Components of Income Tax Expense (Benefit)

The provision for income taxes charged to operations were as follows:



	Year Ended December 31,
(In thousands)	2016			2015			2014
Current tax expense:
U.S. federal	$	1,748		$	2,726		$	47
State and local	374			189			49
Foreign	4,150			9,028			8,127
Total current	6,272			11,943			8,223
Deferred tax (benefit) expense:
U.S. federal	(1,416		)	(4,588		)	(687		)
State and local	(356		)	(87		)	74
Foreign	304			(466		)	307
Total deferred	(1,468		)	(5,141		)	(306		)
Total provision for income taxes	$	4,804		$	6,802		$	7,917

Schedule of Deferred Tax Assets and Liabilities

Net deferred tax assets were comprised of the following:



	December 31,
(In thousands)	2016			2015
Deferred tax assets:
Inventory reserves	$	1,396		$	1,228
Capitalized research costs	44			52
Capitalized inventory costs	704			926
Net operating losses	485			582
Acquired intangible assets	136			148
Accrued liabilities	4,739			5,194
Income tax credits	12,509			11,251
Stock-based compensation	3,376			2,064
Total deferred tax assets	23,389			21,445
Deferred tax liabilities:
Depreciation	(2,924		)	(2,639		)
Allowance for doubtful accounts	(241		)	(223		)
Amortization of intangible assets	(780		)	(1,274		)
Other	(1,479		)	(2,752		)
Total deferred tax liabilities	(5,424		)	(6,888		)
Net deferred tax assets before valuation allowance	17,965			14,557
Less: Valuation allowance	(8,635		)	(6,678		)
Net deferred tax assets	$	9,330		$	7,879

Schedule of Effective Income Tax Rate Reconciliation

The provision for income taxes differs from the amount of income tax determined by applying the applicable U.S. statutory federal income tax rate to pre-tax income from operations as a result of the following:



	Year Ended December 31,
(In thousands)	2016			2015			2014
Tax provision at statutory U.S. rate	$	8,554		$	12,232		$	13,753
Increase (decrease) in tax provision resulting from:
State and local taxes, net	(553		)	(554		)	(580		)
Foreign tax rate differential	(3,244		)	(5,762		)	(7,150		)
Nondeductible items	839			874			1,093
Federal research and development credits	(710		)	(678		)	(842		)
Change in deductibility of social insurance	8			649			688
Valuation allowance	1,598			621			661
Foreign permanent benefit	(2,110		)	(675		)	—
Other	422			95			294
Tax provision	$	4,804		$	6,802		$	7,917

Schedule of Unrecognized Tax Benefits Roll Forward

Changes to our gross unrecognized tax benefits were as follows:



	Year ended December 31,
(In thousands)	2016			2015			2014
Balance at beginning of period	$	3,469		$	3,486		$	3,490
Additions as a result of tax provisions taken during the current year	305			463			213
Subtractions as a result of tax provisions taken during the prior year	—			(161		)	(150		)
Foreign currency translation	(93		)	(79		)	(8		)
Lapse in statute of limitations	(67		)	(241		)	(59		)
Settlements	—			—			—
Other	8			1			—
Balance at end of period	$	3,622		$	3,469		$	3,486