Income Taxes (Tables)

12 Months Ended

Apr. 30, 2018

Income Taxes

Schedule of components of income before income taxes

The components of income before income taxes are as follows (in thousands):

	Year Ended April 30,
	2018		2017		2016
Domestic	$	33,854	$	20,954	$	18,433
Foreign		(34)		(86)		81
Income from continuing operations before income taxes		33,820		20,868		18,514
Equity method investment activity		(1,283)		(119)		(138)
Total income from continuing operations before income taxes	$	32,537	$	20,749	$	18,376

Schedule of reconciliation of income tax expense computed using the U.S. federal statutory rates to actual income tax expense (benefit)

	Year Ended April 30,
	2018		2017		2016
U.S. federal statutory income tax rate	30.4	%	34.0	%	35.0	%
State and local income taxes, net of federal benefit	(2.0)		(1.9)		(5.3)
R&D and other tax credits	(6.7)		(11.7)		(19.2)
Valuation allowance	4.7		4.1		7.3
Foreign rate differential	0.1		—		—
Uncertain tax position adjustment	—		—		—
Return to provision adjustments	(0.1)		(0.3)		2.1
Permanent items	(6.9)		(3.6)		(3.1)
Tax Act	10.0		—		—
Other	0.6		(0.8)		(0.7)
Effective income tax rate	30.1	%	19.8	%	16.1	%

Schedule of components of the provision (benefit) for income taxes

The components of the provision (benefit) for income taxes are as follows (in thousands):

	Year Ended April 30,
	2018		2017		2016
Current:
Federal	$	6,363	$	3,745	$	5,388
State		925		215		406
Foreign		—		—		—
		7,288		3,960		5,794
Deferred:
Federal		3,272		(66)		(2,814)
State		(331)		279		3
Foreign		(52)		(35)		—
		2,889		178		(2,811)
Total income tax expense (benefit)	$	10,177	$	4,138	$	2,983

Schedule of components of the Company's deferred income tax assets and liabilities

Significant components of the Company’s deferred income tax assets and liabilities are as follows (in thousands):

	April 30,
	2018		2017
Deferred income tax assets:
Accrued expenses	$	5,771	$	7,074
Allowances, reserves, and other		2,100		1,801
Unrealized loss on securities		25		74
Net operating loss and credit carry-forwards		12,361		11,854
Intangibles basis		94		43
Total deferred income tax assets		20,351		20,846
Deferred income tax liabilities:
Other		—		(29)
Fixed asset basis		(682)		(428)
Total deferred income tax liabilities		(682)		(457)
Valuation allowance		(8,568)		(5,416)
Net deferred tax assets	$	11,101	$	14,973

Summary of activity related to gross unrecognized tax benefits

The following table summarizes the activity related to the Company’s gross unrecognized tax benefits for the years ended April 30, 2018 and 2017 (in thousands):

	April 30,
	2018		2017
Balance as of May 1	$	9,856	$	9,905
Increases related to prior year tax positions		228		3
Decreases related to prior year tax positions		—		(26)
Increases related to current year tax positions		1,347		901
Decreases related to lapsing of statute of limitations		(261)		(927)
Balance as of April 30,	$	11,170	$	9,856