INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2023

Schedule of Components of Income Tax Expense

The components of our income tax (benefit) expense were as follows:


	Year Ended December 31,
(In thousands)	2023		2022
Current:
Federal	$	539	$	13,389
State	(21)		3,922
	518		17,311

Deferred:
Federal	(24,307)		1,651
State	(6,673)		221
	(30,980)		1,872
Income tax (benefit) expense	$	(30,462)	$	19,183

Schedule of Income Taxes Calculated Using Statutory Federal Income Tax Rate

A reconciliation of income taxes calculated using the statutory federal income tax rate (21% in 2023 and 2022) to our income tax expense is as follows:


	Year ended December 31, 2023				Year ended December 31, 2022
	Amount		%		Amount		%
Income taxes at statutory rate	$	(29,543)	21.0	%	$	17,971	21.0	%
Non-deductible expense	66		—	%	55		0.1	%
State income taxes, net of federal tax effect	(4,826)		3.4	%	3,329		3.8	%

Stock-based compensation and officer compensation	49		—	%	450		0.6	%
Change in fair value of warrant liabilities	(180)		0.1	%	(2,615)		-3.0	%
Impairment of Goodwill	4,502		-3.2	%	—		—	%
Other credits and changes in estimate	(530)		0.4	%	(7)		-0.1	%
Income tax (benefit) expense	$	(30,462)	21.7	%	$	19,183	22.4	%

Schedule of Deferred tax Assets and Liabilities

Deferred tax assets and liabilities were as follows:


	As of December 31,
(In thousands)	2023		2022
Deferred tax assets:
Accounts receivable	$	120	$	167
Accrued charge-backs	2,199		2,093
Other accrued liabilities	372		639
Goodwill	22,677		—
Financing liability	15,682		16,448
Operating lease liability	6,912		8,039
Stock-based compensation	468		523
Net operating losses	2,432		—
Interest expense limitation	2,528		—
Other, net	219		139
	53,609		28,048
Deferred tax liabilities:
Prepaid expenses	(507)		(649)
Goodwill	—		(1,908)
Inventories	(6,035)		(6,873)
Property and equipment	(13,817)		(14,747)
Right of use asset	(6,626)		(8,039)
Intangible assets	(11,180)		(11,368)
	(38,165)		(43,584)
Net deferred tax asset (liability)	$	15,444	$	(15,536)