Income Taxes (Tables)

12 Months Ended

Dec. 31, 2017

Income Tax Disclosure [Abstract]

Components of Company's Income Tax Provision

Significant components of the Company’s income tax provision consisted of the following:

	Year Ended December 31,
	2017			2016			2015
	(In Thousands)
Current tax expense:
Federal	$	-		$	-		$	-
State		(42	)		185			161
Foreign		347			(9	)		264
		305			176			425
Deferred tax expense (benefit):
Federal		6,825			801			(544	)
State		(1,016	)		344			476
Foreign		-			9			205
Change in valuation allowance		13,526			3,700			3,000
		19,335			4,854			3,137
Unrecognized tax benefit		(25	)		-			(33	)
Income tax provision	$	19,615		$	5,030		$	3,529

Schedule of Domestic and Foreign Components of (Loss) Income Before Income Taxes

The components of (loss) income before income taxes are as follows:

	Year Ended December 31,
	2017			2016		2015
Domestic	$	(9,971	)	$	399	$	(1,875	)
Foreign		450			1,797		1,344
Income (loss) before income taxes	$	(9,521	)	$	2,196	$	(531	)

Statutory Federal Tax Rate of Income from Continuing Operations

The differences in income taxes determined by applying the statutory federal tax rate of 34% to income from continuing operations before income taxes and the amounts recorded in the accompanying consolidated statements of comprehensive (loss) income result from the following:

	Year Ended December 31,
	2017						2016					2015
	Amount			Rate			Amount		Rate			Amount			Rate
	(Dollar Amounts In Thousands)
Income tax at statutory rate	$	(3,237	)		34.0	%	$	747		34.0	%	$	(195	)		34.0	%
Add (deduct):
State income taxes, net of federal tax benefit		(859	)		(39.1	)		429		19.6			484			(84.4	)
Tax rate difference on foreign income taxes		46			2.1			17		0.8			(36	)		6.2
Non-deductible items		162			7.4			126		5.7			155			(27.1	)
Increase in valuation allowance against certain deferred tax assets		13,526			615.9			3,700		168.5			3,000			(523.8	)
Unrecognized tax benefits		(25	)		(1.1	)		-		-			(33	)		5.8
Income tax reform impact		10,877			495.3			-		-			-			-
Other, net		(875	)		(39.9	)		11		0.5			154			(27.0	)
	$	19,615			1,074.6	%	$	5,030		229.1	%	$	3,529			(616.3	)%

Components of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities as of December 31, 2017 and 2016 are as follows:

	December 31,
	2017			2016
	(In Thousands)
Deferred income tax assets:
Net operating loss carryforwards and credits	$	14,713		$	16,090
Acquired intangible assets		4,370			6,561
Reserves and accruals		1,984			2,209
Share-based compensation		1,549			2,837
Depreciation		269			395
Total deferred income tax assets		22,885			28,092
Deferred income tax liabilities:
Acquired intangible assets		(780	)		(549	)
Other		(379	)		(312	)
Total deferred income tax liabilities		(1,159	)		(861	)
Valuation allowance		(21,726	)		(8,200	)
Deferred income tax asset, net	$	-		$	19,031

Deferred Tax Valuation Allowance

Annual changes to the deferred tax valuation allowance are as follows:

	Year Ended December 31,
	2017		2016		2015
	(In Thousands)
Balance, beginning of year	$	8,200	$	4,500	$	1,500
Additions		13,526		3,700		3,000
Balance, end of year	$	21,726	$	8,200	$	4,500

Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits is as follows:

	Year Ended December 31,
	2017		2016		2015
	(In Thousands)
Gross unrecognized tax benefits, beginning of year	$	-	$	-	$	9
Increase in tax position in current year		-		-		-
Settlement/Expiration of statute		-		-		-
De-recognition through administrative policy		-		-		(9	)
Gross unrecognized tax benefits, end of year	$	-	$	-	$	-