Income Taxes (Tables)

12 Months Ended

Jun. 30, 2016

The sources of pretax income (loss) are as follows:



	Twelve Months Ended
	June 30, 2016		June 30, 2015			June 30, 2014
	(In thousands)
Domestic	$	33,986	$	(4,001	)	$	60,129
Foreign	5,667		12,193			(3,318		)
Total	$	39,653	$	8,192		$	56,811

Components of the provision for income taxes

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



	Twelve Months Ended
	June 30, 2016			June 30, 2015			June 30, 2014
	(In thousands)
Current:
Federal	$	9,930		$	7,535		$	19,870
State	2,570			1,606			3,117
Foreign	(262		)	1,791			613
	12,238			10,932			23,600
Deferred:
Federal	887			1,803			(3,951		)
State	67			(362		)	(51		)
Foreign	924			(2,283		)	336
	1,878			(842		)	(3,666		)
	$	14,116		$	10,090		$	19,934

Difference between expected income tax provision applying domestic federal statutory tax rate and reported income tax provision

The difference between the expected income tax provision applying the domestic federal statutory tax rate and the reported income tax provision is as follows:



	Twelve Months Ended
	June 30, 2016			June 30, 2015			June 30, 2014
	(In thousands)
Expected provision for Federal income taxes at the statutory rate	$	13,879		$	2,868		$	19,887
State income taxes, net of Federal benefit	1,827			1,023			2,275
Deemed foreign dividends	—			1,462			—
Charges without tax benefit	2,187			1,478			1,405
Change in valuation allowance	311			25			—
IRC S199 deduction	(999		)	—			(1,546		)
Foreign tax credits	—			(1,433		)	—
Research and development and other tax credits	(1,928		)	(1,197		)	(1,793		)
Foreign tax differential	(815		)	(529		)	(182		)
Noncontrolling interest	1,164			6,669			(374		)
Change in uncertain tax positions	(569		)	—			—
Adjustment to tax accounts	(786		)	—			—
Other	(155		)	(276		)	262
Provision for income taxes	$	14,116		$	10,090		$	19,934

Significant components of Company's deferred tax assets and liabilities

Significant components of the Company’s deferred tax assets and liabilities are as follows:



	June 30, 2016			June 30, 2015
	(In thousands)
Deferred tax assets:
Warranty reserve	$	195		$	312
Bad debt reserve	3,188			164
Paid-time-off accrual	865			765
Insurance reserve	2,461			2,178
Legal reserve	87			382
Net operating loss benefit and credit carryforwards	8,207			7,380
Valuation allowance	(424		)	(115		)
Accrued compensation and pension	1,268			1,059
Stock compensation expense on nonvested deferred shares	3,472			3,080
Accrued losses	274			970
Foreign currency translation and other	1,041			897
Total deferred tax assets	20,634			17,072
Deferred tax liabilities:
Tax over book depreciation	11,504			9,987
Tax over book amortization	2,588			1,658
Branch future liability	2,889			2,193
Prepaid insurance	396			160
Receivable holdbacks and other	2,736			589
Total deferred tax liabilities	20,113			14,587
Net deferred tax asset	$	521		$	2,485

Significant components of Company's deferred tax assets and liabilities as reported in consolidated balance sheets



	June 30, 2016			June 30, 2015
	(In thousands)
Deferred income tax assets	3,719			3,729
Deferred income tax liabilities	(3,198		)	(1,244		)
Net deferred tax asset	$	521		$	2,485

Summary of Tax Credit Carryforwards

These carryforwards will generally expire as shown below:



Tax Credit Carryforwards	Expiration Period	Amount (in thousands)
State tax credits	No expiration	$	357
Federal foreign tax credits	June 2017 to June 2025	$	3,076
Foreign tax credits/incentives	June 2034	$	42

Summary of Operating Loss Carryforwards



Operating Loss Carryforwards	Expiration Period	Amount (in thousands)
State net operating losses	June 2025 to June 2032	$	18,083
Foreign net operating losses	June 2028 to June 2035	$	11,724