Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Income Tax Disclosure [Abstract]

Schedule of Income Tax Provisions

The provision for income taxes for the years ended December 31, 2023 and 2022, respectively, consisted of:

	Year Ended December 31,
	2023		2022
	(in thousands)
Current
Federal	$	8,987	$	6,291
State	1,776		863
	10,763		7,154
Deferred
Federal	(1,052)		(502)
State	93		24
	(959)		(478)
Provision for income taxes	$	9,804	$	6,676

Schedule of Deferred Tax Assets and Liabilities

The Company’s deferred tax assets (liabilities), calculated using effective tax rates is as follows:

	December 31, 2023		December 31, 2022
	(in thousands)
Deferred tax assets:
State taxes	$	436	$	252
Reserves	503		825
Accruals and deferred expenses	794		66
Research and development credit	40		43
Inventory	1,012		1,042
Government grant	—		343
Stock based compensation	282		573
Capitalized research and development costs	1,741		1,043
Operating lease liabilities	9,140		8,452
Total deferred tax assets	13,948		12,639
Deferred tax liabilities:
Fixed assets – depreciation	(9,902)		(10,350)
Investment in Global Wells Investment Group	(234)		(172)
Operating ROU asset	(8,009)		(7,273)
Total deferred tax liabilities	(18,145)		(17,795)
Net deferred tax liability	$	(4,197)	$	(5,156)

Schedule of Reconciliation of Income Taxes

Reconciliation of income taxes are as follows from statutory rate of 21% to the effective tax rate for the year ended December 31, 2023 and 2022, respectively:

	December 31, 2023		December 31, 2022
	(in thousands)
Income tax computed at the federal statutory rate	$	8,988	$	6,828
State taxes, net of federal tax benefits	1,609		1,101
Noncontrolling Interest - Income not subject to tax	(115)		(460)
Permanent items	42		31
Excess tax benefit from stock based compensation	(187)		(89)
Research and development credit	(417)		(455)
Others	(116)		(280)
Provision for income taxes	$	9,804	$	6,676