Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

For the years ended December 31, 2019, 2018 and 2017, income before income taxes is broken out between U.S. and foreign-sourced operations and consisted of the following (in thousands):

	2019		2018		2017
Domestic	$	(37,277)	$	21,084	$	14,531
Foreign		39,470		28,435		21,350
Total	$	2,193	$	49,519	$	35,881

Schedule of Components of Income Tax Expense (Benefit)

The components of the provision for income taxes for the years ended December 31, 2019, 2018 and 2017, consisted of the following (in thousands):

	2019		2018		2017
Current expense (benefit):
Federal	$	479	$	(1,132)	$	3,849
State		662		582		645
Foreign		8,037		6,000		5,168
Total current expense		9,178		5,450		9,662
Deferred expense (benefit):
Federal		(8,111)		4,400		(314)
State		(3,523)		(667)		(216)
Foreign		(802)		(1,681)		(774)
Total deferred (benefit) expense		(12,436)		2,052		(1,304)
Total income tax expense (benefit)	$	(3,258)	$	7,502	$	8,358

Schedule of Effective Income Tax Rate Reconciliation

The difference between the income tax expense reported and amounts computed by applying the statutory federal rate of 21.0% to pretax income for years ended December 31, 2019 and 2018, and 35% for the year ended December 31, 2017, consisted of the following (in thousands):

	2019		2018		2017
Computed federal income tax expense at applicable statutory rate	$	461	$	10,399	$	12,559
State income taxes		(2,241)		(59)		279
Tax credits		(1,567)		(1,734)		(1,377)
Foreign tax rate differential		(1,536)		(1,361)		(3,329)
Uncertain tax positions		(794)		267		(19)
Deferred compensation insurance assets		(503)		186		(479)
Transaction-related expenses		154		223		90
U.S. transition tax		—		(3,271)		10,612
TCJA remeasurement of deferred taxes		—		(71)		(8,383)
Stock-based payments		(1,654)		(4,278)		(2,264)
Bargain purchase gain		—		—		(1,570)
In-process research and development		—		—		1,486
Net GILTI		1,861		347		—
Foreign withholding tax		638		5,590		—
Other — including the effect of graduated rates		1,923		1,264		753
Total income tax expense (benefit)	$	(3,258)	$	7,502	$	8,358

Schedule of Deferred Tax Assets and Liabilities

Deferred income tax assets and liabilities at December 31, 2019 and 2018, consisted of the following temporary differences and carry-forward items (in thousands):

	2019		2018
Deferred income tax assets:
Allowance for uncollectible accounts receivable	$	693	$	606
Accrued compensation expense		9,244		7,414
Inventory differences		2,207		1,269
Net operating loss carryforwards		21,187		20,226
Deferred revenue		552		46
Stock-based compensation expense		4,672		2,833
Operating lease assets		16,838		—
Federal R&D Tax Credits		1,376		—
Other		6,189		9,243
Total deferred income tax assets		62,958		41,637
Deferred income tax liabilities:
Prepaid expenses		(1,128)		(1,142)
Property and equipment		(21,242)		(20,045)
Intangible assets		(53,933)		(58,883)
Foreign withholding tax		(5,240)		(5,590)
Operating lease liabilities		(15,847)		—
Other		(2,372)		(4,350)
Total deferred income tax liabilities		(99,762)		(90,010)
Valuation allowance		(4,644)		(4,989)
Net deferred income tax liabilities	$	(41,448)	$	(53,362)
Reported as:
Deferred income tax assets	$	3,788	$	3,001
Deferred income tax liabilities		(45,236)		(56,363)
Net deferred income tax liabilities	$	(41,448)	$	(53,362)

Summary of Income Tax Contingencies

A reconciliation of the beginning and ending amount of liabilities associated with uncertain tax benefits for the years ended December 31, 2019, 2018 and 2017, consisted of the following (in thousands):

	2019		2018		2017
Unrecognized tax benefits, opening balance	$	2,947	$	2,749	$	2,549
Gross increases (decreases) in tax positions taken in a prior year		(244)		35		80
Gross increases in tax positions taken in the current year		229		586		403
Lapse of applicable statute of limitations		(771)		(423)		(283)
Unrecognized tax benefits, ending balance	$	2,161	$	2,947	$	2,749