Income taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Schedule of Income (Loss) Before Provision for Income Taxes

Income (loss) before provision for income taxes consisted of the following:

	Year Ended December 31,
(U.S. Dollars, in thousands)	2022			2021			2020
U.S.	$	(22,318	)	$	(5,987	)	$	5,556
Non-U.S.		4,612			(7,508	)		(5,924	)
Income (loss) before income taxes	$	(17,706	)	$	(13,495	)	$	(368	)

Schedule of Provision for Income Taxes

The provision for income taxes consists of the following:

	Year Ended December 31,
(U.S. Dollars, in thousands)	2022		2021			2020
U.S.
Current	$	1,151	$	(607	)	$	(15,054	)
Deferred		67		24,292			(29	)
		1,218		23,685			(15,083	)
Non-U.S.
Current		578		1,009			1,382
Deferred		247		190			10,816
		825		1,199			12,198
Income tax expense (benefit)	$	2,043	$	24,884		$	(2,885	)

Schedule of Effective Income Tax Rate Reconciliation for Continuing Operations

The differences between the income tax provision at the U.S. federal statutory tax rate and the Company’s effective tax rate for the years ended December 31, 2022, 2021, and 2020, consist of the following:

	2022						2021						2020
(U.S. Dollars, in thousands, except percentages)	Amount			Percent			Amount			Percent			Amount			Percent
Statutory U.S. federal income tax rate	$	(3,718	)		21.0	%	$	(2,834	)		21.0	%	$	(77	)		21.0	%
State taxes, net of U.S. federal benefit		(1,312	)		7.4			(24	)		0.2			1,151			(312.8	)
Foreign rate differential, including withholding taxes		475			(2.7	)		480			(3.6	)		(147	)		39.9
Valuation allowances, net		7,638			(43.1	)		27,819			(206.1	)		14,514			(3,944.0	)
Foreign income inclusions, net		1,018			(5.7	)		—			—			—			—
Research credits		(750	)		4.2			(537	)		4.0			(982	)		266.8
Unrecognized tax benefits, net of settlements		(599	)		3.4			(1,363	)		10.1			(17,321	)		4,706.8
Equity compensation		1,441			(8.1	)		1,091			(8.1	)		1,657			(450.3	)
Executive compensation		697			(3.9	)		456			(3.4	)		375			(101.9	)
Contingent consideration		(3,316	)		18.7			(640	)		4.7			(1,460	)		396.7
Other, net		469			(2.6	)		436			(3.2	)		(595	)		161.8
Income tax expense (benefit) /effective rate	$	2,043			(11.5	)%	$	24,884			(184.4	)%	$	(2,885	)		784.0	%

Schedule of Deferred Tax Assets and Liabilities

The Company’s deferred tax assets and liabilities are as follows:

	December 31,
(U.S. Dollars, in thousands)	2022			2021
Intangible assets and goodwill	$	5,807		$	5,245
Inventories and related reserves		17,819			17,097
Deferred revenue and cost of goods sold		3,642			3,888
Other accruals and reserves		2,756			3,082
Accrued compensation		8,795			7,784
Provision for expected credit losses		1,253			1,217
Net operating loss and tax credit carryforwards		40,676			42,546
R&D capitalization		4,353			—
Lease liabilities		6,440			5,691
Other, net		3,767			852
Total deferred tax assets		95,308			87,402
Valuation allowance		(83,797	)		(76,725	)
Deferred tax asset, net of valuation allowance	$	11,511		$	10,677
Withholding taxes		(10	)		(10	)
Property, plant, and equipment		(5,516	)		(4,809	)
Right-of-use lease assets		(5,771	)		(5,165	)
Deferred tax liability		(11,297	)		(9,984	)
Net deferred tax assets	$	214		$	693
Reported as:
Deferred income tax assets (classified within other long-term assets)		1,470			1,771
Deferred income tax liabilities (classified within other long-term liabilities)		(1,256	)		(1,078	)
Net deferred tax assets	$	214		$	693

The Company historically presented deferred income tax assets as a separate and discrete line item on its consolidated balance sheet; however, as the significance of the asset has decreased as a result of the recognition of valuation allowances, the Company has reclassified this balance to be included within other long-term assets. As such, the prior year balance has been reclassified to conform to current period presentation.

Schedule of Gross Unrecognized Tax Benefits (Excluding Interest and Penalties)

A reconciliation of the gross unrecognized tax benefits (excluding interest and penalties) for the years ended December 31, 2022, and 2021, is shown below:

(U.S. Dollars, in thousands)	2022			2021
Balance as of January 1,	$	3,462		$	4,629
Additions for current year tax positions		46			45
Increases for prior year tax positions		16			110
Settlements of prior year tax positions		(144	)		—
Expiration of statutes		(1,637	)		(1,322	)
Balance as of December 31,	$	1,743		$	3,462