INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Schedule of income from continuing operations before provision (benefit) for income taxes

Income from continuing operations before provision (benefit) for income taxes are taxed under the following jurisdictions (dollar amounts in thousands):

Year Ended December 31,	2022		2021
Domestic	$	(7,505)	$	14,932
Foreign	22,720		16,890
Total	$	15,215	$	31,822

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

Components of the provision (benefit) for income taxes for each of the two years in the period ended December 31, 2022 are as follows (dollar amounts in thousands):

Year Ended December 31,	2022		2021
Current:
Federal	$	2	$	—
State	(48)		54
Foreign	6,725		5,690
Subtotal	6,679		5,744
Deferred:
Federal	5,792		(5,679)
State	(13)		146
Foreign	2,207		1,404
Subtotal	7,986		(4,129)
Total provision (benefit) for income taxes	$	14,665	$	1,615

Schedule of differences between the statutory U.S. federal income tax rate and the provision (benefit) for income taxes, as a percentage of income before provision for income taxes

The provision (benefit) for income taxes, as a percentage of income from continuing operations before provision (benefit) for income taxes, differs from the statutory U.S. federal income tax rate due to the following:

Year Ended December 31,	2022		2021
Statutory U.S. federal income tax rate	21.0	%	21.0	%
State income taxes, net of U.S. federal income tax benefit	(0.5)		0.4
U.S. tax impact of foreign operations	(8.6)		(6.3)
Valuation allowance change	64.3		(19.7)
Unrecognized tax benefits	1.4		0.5
Permanent foreign items	4.3		2.4
Withholding tax on royalties	4.2		3.4
Executive compensation	2.7		4.9
Stock compensation	(2.4)		(4.0)
Tax return to provision differences	(3.4)		0.4
Income eliminated in consolidation	13.1		1.7
Other	0.3		0.4
Effective income tax rate	96.4	%	5.1	%

Schedule of components of U.S. tax impact of foreign operations

Adjustments relating to the U.S. impact of foreign operations decreased the effective tax rate by 8.6 percentage points and 6.3 percentage points in 2022 and 2021, respectively. The components of this calculation were:

Components of U.S. tax impact of foreign operations	2022		2021
Foreign tax credits	(19.4)	%	(7.4)	%
Foreign tax rate differentials	1.5		0.6
Foreign withholding taxes	2.6		1.9
Transfer pricing adjustment	1.2		0.6
Impact of Subpart F	1.8		—
Impact of GILTI	3.7		0.7
Impact of FDII	—		(2.7)
Total	(8.6)	%	(6.3)	%

Schedule of significant components of the deferred tax assets (liabilities)

The significant components of the deferred tax assets (liabilities) are as follows (dollar amounts in thousands):

As of December 31,	2022		2021
Inventory	$	1,612	$	1,173
Accrued liabilities	2,859		2,364
Operating lease liabilities	2,667		2,871
Deferred compensation	160		228
Share-based compensation	797		877
Intangible assets	115		131
Bad debts	9		30
Net operating losses	5,060		4,861
Foreign tax and withholding credits	15,392		14,116
Accrued compensation	304		1,726
Other deferred tax assets	1,960		2,160
Valuation allowance	(18,049)		(8,650)
Total deferred tax assets	12,886		21,887
Accelerated depreciation	(4,029)		(5,171)
Right of use assets	(2,365)		(2,544)
Tax on unremitted earnings	(1,032)		(2,107)
Other deferred tax liabilities	(40)		(41)
Total deferred tax liabilities	(7,466)		(9,863)
Total deferred taxes, net	$	5,420	$	12,024

Schedule of components of deferred tax assets (liabilities), net

The components of deferred tax assets (liabilities), net are as follows (dollar amounts in thousands):

As of December 31,	2022		2021
Net deferred tax assets	$	6,859	$	13,590
Net deferred tax liabilities	(1,439)		(1,566)
Total deferred taxes, net	$	5,420	$	12,024

Schedule of reconciliation of the beginning and ending amount of liabilities associated with uncertain tax benefits, excluding interest and penalties

A reconciliation of the beginning and ending amount of liabilities associated with uncertain tax benefits, excluding interest and penalties, is as follows for the years (dollar amounts in thousands):

Year Ended December 31,	2022		2021
Unrecognized tax benefits, opening balance	$	—	$	56
Settlement of liability reclassified as income tax payable	—		—
Payments on liability	(5)		(175)
Tax positions taken in a prior period
Gross increases	120		412
Gross decreases	—		(237)
Tax positions taken in the current period
Gross increases	—		—
Gross decreases	—		—
Lapse of applicable statute of limitations	—		(52)
Currency translation adjustments	(5)		(4)
Unrecognized tax benefits, ending balance	$	110	$	—