Income Taxes (Tables)

12 Months Ended

Sep. 30, 2014

Income Tax Disclosure [Abstract]

Schedule of Income Taxes from Continuing Operations

Income taxes from continuing operations in the accompanying consolidated statements of income for the fiscal years ended September 30 are as follows (in thousands):

	2014			2013			2012
Current provision:
Federal	$	6,470		$	6,048		$	6,615
State and foreign		147			225			290
Total current provision		6,617			6,273			6,905
Deferred (benefit) provision :
Federal		(347	)		(552	)		(835	)
State		(5	)		60			107
Total deferred benefit		(352	)		(492	)		(728	)
Total provision	$	6,265		$	5,781		$	6,177

Schedule of Reconciliation Difference of Income Taxes

The reconciliation of the difference between amounts calculated at the statutory U.S. federal tax rate of 35% for the fiscal years ended September 30 and the Company’s effective tax rate from continuing operations is as follows (in thousands):

	2014			2013			2012
Amount at statutory U.S. federal income tax rate	$	6,465		$	7,126		$	5,707
Change because of the following items:
State income taxes, net of federal benefit		118			278			236
Stock-based compensation		21			25			36
Valuation allowance change		120			(699	)		303
Tax reserve release		(121	)		(128	)		(77	)
Federal manufacturing deduction		(235	)		(266	)		(220	)
Federal research and development credit		(67	)		(324	)		—
Other		(36	)		(231	)		192
Income tax provision	$	6,265		$	5,781		$	6,177

Schedule of Deferred Income Taxes

The components of deferred income taxes consisted of the following as of September 30 and result from differences in the recognition of transactions for income tax and financial reporting purposes (in thousands):

	2014			2013
Depreciable assets	$	1,612		$	1,271
Deferred revenue		101			74
Accruals and reserves		324			353
Stock-based compensation		4,373			4,220
Impaired strategic investments		3,674			3,253
Unrealized gains on investments		(550	)		(29	)
Capital loss carryforward		1,650			1,962
Other		764			733
Valuation allowance		(4,836	)		(5,293	)
Total deferred tax assets		7,112			6,544
Less current deferred tax assets		(394	)		(506	)
Noncurrent deferred tax assets	$	6,718		$	6,038

Summary of Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):

	2014			2013			2012
Beginning of fiscal year	$	1,300		$	1,435		$	1,564
Increases in tax positions for prior years		43			27			5
Decreases in tax positions for prior years		(1	)		(278	)		(3	)
Increases in tax positions for current year		149			122			72
Lapse of the statute of limitations		(275	)		(6	)		(203	)
End of fiscal year	$	1,216		$	1,300		$	1,435