INCOME TAXES (Tables)

12 Months Ended

Feb. 28, 2019

Income Tax Disclosure [Abstract]

Schedule of Income Before Income Taxes

Our income (loss) before income taxes and equity in net loss of affiliate consists of the following (in thousands):

	Year Ended February 28,
	2019		2018		2017
Domestic	$	21,367	$	13,898	$	(11,910	)
Foreign		2,488		14,811		3,727
Total income (loss) before income taxes and equity in net loss of affiliate	$	23,855	$	28,709	$	(8,183	)

Components of Income Tax Benefit (Provision)

The components of income tax benefit (provision) consists of the following (in thousands):

	Year Ended February 28,
	2019			2018			2017
Current:
Federal	$	404		$	(412	)	$	-
State		(256	)		(694	)		(137	)
Foreign		(62	)		(2,204	)		(1,035	)
Total current		86			(3,310	)		(1,172	)
Deferred:
Federal		(2,015	)		(6,156	)		1,712
State		(1,183	)		(1,458	)		539
Foreign		4,442			243			484
Total deferred		1,244			(7,371	)		2,735
Income tax benefit (provision)	$	1,330		$	(10,681	)	$	1,563

Reconciliation of Effective Income Tax Benefit (Provision)

The income tax benefit (provision) differs from the amount obtained by applying the statutory rate as follows (in thousands):

	Year Ended February 28,
	2019			2018			2017
Income tax benefit (provision) at U.S. statutory federal rate	$	(5,010	)	$	(9,400	)	$	2,864
State income tax provision, net of federal income tax effect		(1,300	)		(574	)		182
Foreign taxes		(31	)		2,923			68
Impact of tax reform		-			(8,955	)		-
Valuation allowance reductions (increases)		5,915			3,046			(1,391	)
Research and development tax credits		1,658			1,034			806
Tax benefits on vested and exercised equity awards		758			937			-
Other, net		(660	)		308			(966	)
Total income tax benefit (provision)	$	1,330		$	(10,681	)	$	1,563

Schedule of Net Deferred Tax Income Assets

The components of net deferred income tax assets for income tax purposes are as follows (in thousands):

	February 28,
	2019			2018
Net operating loss carryforwards	$	19,269		$	22,013
Depreciation, amortization and impairments		(11,945	)		(11,112	)
Research and development credits		19,189			17,432
Stock-based compensation		2,783			2,376
Other tax credits		1,018			2,015
Inventory reserve		624			292
Warranty reserve		313			429
Payroll and employee benefit accruals		2,220			1,941
Allowance for doubtful accounts		454			354
Other accrued liabilities		6,208			8,975
Convertible debt		(10,822	)		(194	)
Other, net		3,281			3,904
Gross deferred tax assets		32,592			48,425
Valuation allowance		(10,929	)		(16,844	)
Net deferred tax assets	$	21,663		$	31,581
Reported as:
Deferred tax assets	$	22,626		$	31,581
Deferred tax liabilities		(963	)		-
Net deferred tax assets	$	21,663		$	31,581

Summary of Unrecognized Tax Benefits

	Year Ended February 28,
	2019			2018		2017
Gross amounts of unrecognized tax benefits at beginning of the period	$	1,029		$	1,029	$	1,029
Increases related to prior period tax positions		2,241			-		-
Decreases related to prior period tax positions		(69	)		-		-
Increases related to current period tax positions		-			-		-
Settlements		-			-		-
Gross amounts of unrecognized tax benefits at end of the period	$	3,201		$	1,029	$	1,029