Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Income Tax Disclosure [Abstract]

Components of Income (Loss) from Continuing Operations

Components of the Company’s income (loss) from continuing operations before income taxes are as follows (in thousands):

	Year Ended December 31,
	2015			2014			2013
Income (loss) from continuing operations before income taxes:
Canadian	$	(1,674	)	$	(20,212	)	$	(5,366	)
U.S.		23,298			(9,661	)		12,838
Other		24,398			11,958			8,705
Total	$	46,022		$	(17,915	)	$	16,177

Components of Income Tax Provision (Benefit)

Components of the Company’s income tax provision (benefit) are as follows (in thousands):

	Year Ended December 31,
	2015			2014			2013
Current
Canadian	$	96		$	175		$	—
U.S.		8,136			3,615			1,662
Other		3,854			1,940			652
		12,086			5,730			2,314
Deferred
Canadian		—			—			—
U.S.		(3,239	)		(6,731	)		2,206
Other		1,547			(5	)		1,680
		(1,692	)		(6,736	)		3,886
Total	$	10,394		$	(1,006	)	$	6,200

Reconciliation of Statutory Canadian Tax rate to Effective Tax Rate

The reconciliation of the statutory Canadian tax rate to the effective tax rate related to income before income taxes from continuing operations is as follows (in thousands, except percentage data):

	Year Ended December 31,
	2015			2014			2013
Statutory Canadian tax rate		27.00	%		27.00	%		26.00	%
Expected income tax provision at Canadian statutory tax rate	$	12,426		$	(4,837	)	$	4,206
International tax rate differences		304			(1,132	)		156
State income taxes, net		453			(271	)		148
Withholding and other taxes		680			421			321
Permanent differences		1,130			486			106
Section 199 deduction		(1,188	)		(574	)		—
Change in valuation allowance		(612	)		4,809			(3,076	)
Provision to return differences		(617	)		962			(312	)
Tax credits		(990	)		(1,678	)		(938	)
Net operating loss expirations		—			—			4,538
Statutory tax rate change		95			(13	)		354
Uncertain tax positions		121			134			259
IRS audit		(748	)		241			680
JK Lasers divestiture		(1,432	)		—			—
Goodwill impairment		—			330			—
Other		772			116			(242	)
Reported income tax provision (benefit)	$	10,394		$	(1,006	)	$	6,200
Effective tax rate		22.6	%		5.6	%		38.3	%

Significant Components of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities as of December 31, 2015 and 2014 are as follows (in thousands):

	December 31,
	2015			2014
Deferred tax assets:
Losses & IRC Section 163(j) carryforwards	$	9,985		$	12,742
Compensation related deductions		2,915			3,749
Tax credits		2,409			3,502
Restructuring related liabilities		294			64
Inventory		4,415			4,495
Depreciation		503			683
Amortization		3,205			—
Warranty		1,127			876
Other		1,281			2,206
Total deferred tax assets		26,134			28,317
Valuation allowance for deferred tax assets		(12,537	)		(14,495	)
Net deferred tax assets	$	13,597		$	13,822
Deferred tax liabilities:
Equity investment	$	(1,733	)	$	(1,594	)
Depreciation		—			(341	)
Amortization		(2,791	)		(36	)
Unrealized currency gain/loss		(1,292	)		(2,595	)
Other		(345	)		(525	)
Total deferred tax liabilities	$	(6,161	)	$	(5,091	)
Net deferred income tax assets (liabilities)	$	7,436		$	8,731

Reconciliation of Total Amounts of Unrecognized Tax Benefits

The reconciliation of the total amounts of unrecognized tax benefits is as follows (in thousands):

Balance at December 31, 2012	$	7,554
Additions based on tax positions related to the current year		508
Additions for tax positions of prior years		1,475
Reductions for tax positions of prior years		(1,888	)
Reductions to tax positions resulting from a lapse of the applicable statute of limitations		(575	)
Balance at December 31, 2013		7,074
Additions based on tax positions related to the current year		1,180
Additions for tax positions of prior years		2,601
Reductions for tax positions of prior years		(2,404	)
Reductions to tax positions resulting from a lapse of the applicable statute of limitations		(2,177	)
Balance at December 31, 2014		6,274
Additions based on tax positions related to the current year		752
Additions for tax positions of prior years		78
Reductions for tax positions of prior years		(626	)
Reductions to tax positions resulting from a lapse of the applicable statute of limitations		(226	)
Settlements with tax authorities		(762	)
Balance at December 31, 2015	$	5,490

Income Tax Returns to be Reviewed

The Company’s income tax returns may be reviewed by tax authorities in the following countries for the following periods under the appropriate statute of limitations:

United States	2009 -  Present
Canada	2010 -  Present
United Kingdom	2014 -  Present
Germany	2008 -  Present
Netherlands	2010 -  Present
China	2012 -  Present
Japan	2011 -  Present