Income Taxes (Tables)

12 Months Ended

May 31, 2023

Income Tax Disclosure [Abstract]

Components of income (loss) before income tax provision

The components of loss before income tax benefit are as follows:

	Year ended May 31,
(in thousands)	2023		2022		2021
Loss before tax expense:
U.S.	$	(45,240)	$	(28,495)	$	(31,595)
Non-U.S.	(9,197)		(1,454)		(4,457)
	$	(54,437)	$	(29,949)	$	(36,052)

Summary of Income tax (benefit) provision analyzed by category

Income tax benefit is comprised of the following:

	Year ended May 31,
(in thousands)	2023		2022		2021
Current
U.S.	129		120		100
Non U.S.	187		186		201
	316		306		301
Deferred
U.S.	(207)		(3,415)		(3,375)
Non U.S.	(2,104)		(293)		(1,430)
	(2,311)		(3,708)		(4,805)
Income tax benefit	$	(1,995)	$	(3,402)	$	(4,504)

Summary of deferred tax asset and liabilities

Temporary differences that give rise to deferred tax assets and liabilities are summarized as follows:

(in thousands)	May 31, 2023		May 31, 2022
Deferred tax assets
Net operating loss carryforward	$	40,460	$	40,759
Stock-based compensation	4,263		4,617
Federal and state R&D tax credit carryforward	7,311		6,320
Inventories	724		853
Expenses incurred not currently deductible	6,986		1,914
Accrued liabilities	78		72
Gross deferred tax asset	59,822		54,535
Deferred tax liabilities
Depreciation and amortization	46,828		50,320
	46,828		50,320
Valuation allowance	(25,759)		(20,203)
Net deferred tax liability	$	(12,765)	$	(15,988)

Summary of Income tax rate reconciliation

The Company's consolidated income tax expense has differed from the amount that would be provided by applying the U.S. Federal statutory income tax rate to the Company's income before income taxes for the following reasons:

	Year ended May 31,
(in thousands)	2023		2022		2021
Income tax benefit at federal statutory tax rate of 21.0%, 21.0% and 21.0%, respectively	$	(11,432)	$	(6,289)	$	(7,571)
State income taxes, net of Federal tax benefit	(353)		(536)		(462)
Impact of Non-U.S. operations	14		199		(293)
Research and development tax credit	(991)		395		(1,303)
Meals and entertainment	258		179		116
Goodwill impairment	3,055		—		—
Non-deductible executive compensation	366		686		107
Change in valuation allowance	5,556		3,168		3,921
Stock based compensation	505		(1,616)		526
Other	1,027		412		455
Income tax benefit	$	(1,995)	$	(3,402)	$	(4,504)

Summary of unrecognized tax benefits reconciliation

The following table provides a reconciliation of the beginning and ending amount of unrecognized tax benefits:

	Year ended May 31,
(in thousands)	2023		2022		2021
Unrecognized tax benefits balance at June 1	$	464	$	464	$	464
Decrease in gross amounts of tax positions related to prior years due to U.S. tax reform	—		—		—
Decrease due to lapse in statute of limitations	—		—		—
Unrecognized tax benefits balance at May 31	$	464	$	464	$	464