PROVISION (BENEFIT) FOR INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2024

PROVISION (BENEFIT) FOR INCOME TAXES

U.S. and foreign components of income before income taxes

U.S. and foreign components of income before income taxes were:

	Year Ended December 31,
(In thousands)	2024		2023		2022
U.S. operations	$	(4,521)	$	2,995	$	17,250
Foreign operations		35,275		42,912		166,176
Total income before income taxes	$	30,754	$	45,907	$	183,426

Components of provision (benefit) for income taxes

The components of the provision (benefit) for income taxes are as follows:

	Year Ended December 31,
(In thousands)	2024		2023		2022
Current provision (benefit):
Federal	$	5,876	$	(1,193)	$	19,740
State		3		3		2
Foreign		1,392		1,331		1,079
		7,271		141		20,821
Deferred provision (benefit):
Federal		(8,177)		(9,178)		(7,962)
State		—		—		—
Foreign		(574)		(791)		(284)
		(8,751)		(9,969)		(8,246)
Total	$	(1,480)	$	(9,828)	$	12,575

Effective income tax rate reconciliation

The provision (benefit) for income taxes differs from the amount that would result by applying the applicable federal income tax rate to income before income taxes, as follows:

	Year Ended December 31,
	2024		2023		2022
Provision (benefit) computed at Federal statutory rate	21.0	%	21.0	%	21.0	%
Business tax credits	(14.6)		(12.2)		(3.7)
Stock-based compensation	6.4		(0.1)		(1.6)
Foreign income taxed at different rate	(21.0)		(17.6)		(18.5)
GILTI inclusion	2.4		4.1		8.5
Uncertain Tax Positions	(3.7)		(18.6)		(0.1)
Valuation allowance	5.3		4.3		1.3
Other	(0.6)		(2.3)		—
Total	(4.8)	%	(21.4)	%	6.9	%

Components of net deferred income tax assets (liabilities)

The components of the net deferred income tax assets (liabilities) were as follows:

	December 31,
(In thousands)	2024		2023
Deferred tax assets:
R&D costs capitalized for tax purposes	$	39,807	$	30,886
Other reserves and accruals		3,598		861
Tax credit carry-forwards		29,558		28,223
Stock compensation		3,155		1,543
Capital losses		140		141
Net operating loss		2,268		2,269
Other		421		465
Valuation allowance		(32,659)		(31,031)
		46,288		33,357
Deferred tax liabilities:
Fixed assets, Intangible and Goodwill		(9,814)		(5,040)
		(9,814)		(5,040)
Net deferred tax assets	$	36,474	$	28,317

Unrecognized tax benefits rollforward

The Company applies the provisions of ASC 740-10, relating to accounting for uncertain income taxes. Reconciliation of the beginning and ending amount of unrecognized tax benefits:

	Unrecognized
(In thousands)	Tax Benefits
Unrecognized tax benefits balance at January 1, 2022	$	21,363
Gross increase for tax positions of current year		2,188
Gross decrease for tax positions of prior years		—
Statute of limitation release for tax positions of prior years		(165)
Unrecognized tax benefits balance at December 31, 2022		23,386
Gross increase for tax positions of current year		605
Gross decrease for tax positions of prior years		—
Statute of limitation release for tax positions of prior years		(7,602)
Unrecognized tax benefits balance at December 31, 2023		16,389
Gross increase for tax positions of current year		765
Gross decrease for tax positions of prior years		(876)
Statute of limitation release for tax positions of prior years		(1,103)
Unrecognized tax benefits balance at December 31, 2024	$	15,175