Income Taxes (Tables)

12 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

For the years ended December 31, 2020, 2019 and 2018, income (loss) before income taxes is broken out between U.S. and foreign-sourced operations and consisted of the following (in thousands):

	2020		2019		2018
Domestic	$	(32,216)	$	(37,277)	$	21,084
Foreign		18,985		39,470		28,435
Total	$	(13,231)	$	2,193	$	49,519

Schedule of Components of Income Tax Expense (Benefit)

The components of the provision for income taxes for the years ended December 31, 2020, 2019 and 2018, consisted of the following (in thousands):

	2020		2019		2018
Current expense (benefit):
Federal	$	(937)	$	479	$	(1,132)
State		437		662		582
Foreign		8,407		8,037		6,000
Total current expense (benefit)		7,907		9,178		5,450
Deferred expense (benefit):
Federal		(2,688)		(8,111)		4,400
State		(4,524)		(3,523)		(667)
Foreign		(4,083)		(802)		(1,681)
Total deferred expense (benefit)		(11,295)		(12,436)		2,052
Total income tax expense (benefit)	$	(3,388)	$	(3,258)	$	7,502

Schedule of Effective Income Tax Rate Reconciliation

The difference between the income tax expense (benefit) reported and amounts computed by applying the statutory federal rate of 21.0% to pretax income (loss) for the years ended December 31, 2020, 2019 and 2018, consisted of the following (in thousands):

	2020		2019		2018
Computed federal income tax expense (benefit) at applicable statutory rate of 21%	$	(2,778)	$	461	$	10,399
State income tax expense (benefit)		(1,448)		(2,241)		(59)
Tax credits		(2,098)		(1,567)		(1,734)
Foreign tax rate differential		(1,230)		(1,536)		(1,361)
Uncertain tax positions		(576)		(794)		267
Deferred compensation insurance assets		(299)		(503)		186
Transaction-related expenses		—		154		223
U.S. transition tax		—		—		(3,271)
TCJA remeasurement of deferred taxes		—		—		(71)
Stock-based payments		(1,815)		(1,654)		(4,278)
Net GILTI		3,960		1,861		347
Foreign withholding tax		228		638		5,590
Foreign permanent differences (1)		1,728		937		96
Valuation allowance (1)		1,879		131		21
DOJ settlement		1,890		—		—
Remeasurement of state deferred taxes		(1,765)		—		—
Other — including the effect of graduated rates (1)		(1,064)		855		1,147
Total income tax expense (benefit)	$	(3,388)	$	(3,258)	$	7,502

(1) Amounts for the years ended December 31, 2019 and 2018 in the table above have been updated for presentation and comparative purposes.

Schedule of Deferred Tax Assets and Liabilities

Deferred income tax assets and liabilities at December 31, 2020 and 2019, consisted of the following temporary differences and carry-forward items (in thousands):

	2020		2019
Deferred income tax assets:
Allowance for credit losses on trade receivables	$	1,198	$	693
Accrued compensation expense		9,694		9,244
Inventory differences		3,161		2,207
Net operating loss carryforwards		18,622		21,187
Deferred revenue		617		552
Stock-based compensation expense		7,360		4,672
Operating lease assets		15,182		16,838
Federal R&D tax credit		3,607		1,376
Other		13,993		6,189
Total deferred income tax assets		73,434		62,958
Deferred income tax liabilities:
Prepaid expenses		(1,078)		(1,128)
Property and equipment		(20,671)		(21,242)
Intangible assets		(47,178)		(53,933)
Foreign withholding tax		(5,358)		(5,240)
Operating lease liabilities		(13,855)		(15,847)
Other		(3,796)		(2,372)
Total deferred income tax liabilities		(91,936)		(99,762)
Valuation allowance		(10,213)		(4,644)
Net deferred income tax liabilities	$	(28,715)	$	(41,448)
Reported as:
Deferred income tax assets	$	4,597	$	3,788
Deferred income tax liabilities		(33,312)		(45,236)
Net deferred income tax liabilities	$	(28,715)	$	(41,448)

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, 2020, 2019 and 2018, consisted of the following (in thousands):

	2020		2019		2018
Unrecognized tax benefits, opening balance	$	2,161	$	2,947	$	2,749
Gross increases (decreases) in tax positions taken in a prior year		115		(244)		35
Gross increases in tax positions taken in the current year		283		229		586
Lapse of applicable statute of limitations		(885)		(771)		(423)
Unrecognized tax benefits, ending balance	$	1,674	$	2,161	$	2,947