Note 6 - Income Taxes

3 Months Ended

Sep. 30, 2017

Notes to Financial Statements

Income Tax Disclosure [Text Block]

NOTE

6.

INCOME TAXES

	For the Three Months Ended September 30,
	2017			2016
Provision for income taxes	$	309		$	34
Effective tax rate		22	%		3	%

For the

three

months ended

September 30, 2017,

the Company's effective tax rate differed from federal statutory rate primarily due to profits from the UK that are subject to a lower statutory rate, the utilization of research and development credits in the UK, and the utilization of prior net operating losses against income generated in the US.

For the

three

months ended

September 30, 2016,

the Company's effective tax rate differed from federal statutory rate primarily due to profits from the UK that are subject to a lower statutory rate, the utilization of research and development credits in the UK, the utilization of prior net operating losses against income generated in the US, and the partial release of valuation allowance in the US.

Effective

July 1, 2017,

the Company expects future foreign unremitted earnings will be permanently reinvested.