Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Schedule of Income Tax Benefit (Provisions) from Continuing Operations

Income tax benefit (provisions) consisted of the following:

	Year Ended December 31,
	2015			2014			2013
	(In thousands)
Income before provision for income taxes	$	4,449		$	6,319		$	3,672
Benefit (provision) for income taxes	(1,591		)	(2,196		)	36,483
Effective tax rate	35.8		%	34.8		%	(993.5		)%

Details of Pre-Tax Book Income (Loss) from Continuing Operations

The Company reported pre-tax book income of:

	Year Ended December 31,
	2015			2014		2013
	(In thousands)
Domestic	$	21,160		$	5,867	$	3,349
Foreign	(16,711		)	452		323
Total	$	4,449		$	6,319	$	3,672

Summary of Benefit (Provision) for Income Taxes from Continuing Operations

The benefit (provision) for income taxes consisted of the following:

	Year Ended December 31,
	2015			2014			2013
	(In thousands)
Current:
United States federal	$	(1,426	)	$	(218	)	$	(300	)
State and local	(12		)	(12		)	(12		)
Foreign	(389		)	(75		)	(55		)
Total current	$	(1,827	)	$	(305	)	$	(367	)
Deferred:
United States federal	585			(2,137		)	36,190
State and local	—			—			—
Foreign	(349		)	246			660
Total deferred	236			(1,891		)	36,850
	$	(1,591	)	$	(2,196	)	$	36,483

Details of Significant Components of Net Deferred Tax Assets and Liabilities

Significant components of the net deferred tax assets and liabilities consisted of:

	December 31,
	2015			2014
	(In thousands)
Deferred tax assets:
Net operating loss carryforwards	$	6,824		$	20,627
State income taxes	1			1
Deferred revenue	2,505			4,723
Research and development and other credits	10,626			8,898
Reserves and accruals recognized in different periods	6,395			4,803
Basis difference in investment	967			968
Capitalized R&D expenses	4,654			1,576
Depreciation and amortization	523			783
Deferred rent	243			83
Other	14			(3		)
Total deferred tax assets	32,752			42,459
Valuation allowance	(8,119		)	(7,663		)
Net deferred tax assets	$	24,633		$	34,796

Reconciliation between Benefit (Provision) for Income Taxes at Statutory Rate and Effective Tax Rate

For purposes of the reconciliation between the benefit (provision) for income taxes at the statutory rate and the effective tax rate, a national U.S. 35% rate is applied as follows:

	2015		2014		2013
Federal statutory tax rate	35.0	%	35.0	%	35.0	%
State taxes, net of federal benefit	—	%	—	%	0.1	%
Sale of IP rights to foreign subsidiary	22.5	%	—	%	—	%
Benefit from foreign losses	7.8	%	—	%	—	%
Foreign withholding	0.5	%	3.5	%	8.2	%
Stock compensation expense	5.8	%	3.8	%	2.5	%
Meals & entertainment	0.1	%	0.1	%	0.3	%
Foreign rate differential	(24.0	)%	(1.1	)%	(1.7	)%
Prior year true-up items	1.7	%	(0.2	)%	0.1	%
Tax reserves	3.9	%	0.8	%	1.3	%
Loss on foreign share transfer	5.9	%	—	%	—	%
Credits	(35.5	)%	(5.7	)%	(11.0	)%
Other	3.9	%	(1.4	)%	—	%
Valuation allowance	8.2	%	—	%	(1,028.3	)%
Effective tax rate	35.8	%	34.8	%	(993.5	)%

Details of Beginning and Ending Amount of Gross Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows:

	2015			2014			2013
	(In thousands)
Balance at beginning of year	$	1,744		$	1,634		$	628
Gross increases for tax positions of prior years	141			—			896
Gross decreases for tax positions of prior years	(15		)	(4		)	—
Gross increases for tax positions of current year	4,415			114			110
Settlements	—			—			—
Lapse of statute of limitations	—			—			—
Balance at end of year	$	6,285		$	1,744		$	1,634