Income Taxes (Tables)

12 Months Ended

Sep. 30, 2017

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):

	2017			2016			2015
Current provision:
U.S. Federal	$	2,125		$	6,550		$	6,065
U.S. State		(72	)		250			106
International		54			(98	)		30
Total current provision		2,107			6,702			6,201
Deferred provision (benefit):
U.S. Federal		1,085			169			58
U.S. State		(85	)		(43	)		35
International		—			135			—
Total deferred provision (benefit)		1,000			261			93
Total provision	$	3,107		$	6,963		$	6,294

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):

	2017			2016			2015
Amount at statutory U.S. federal income tax rate	$	2,461		$	5,932		$	6,385
Change because of the following items:
State income taxes, net of federal benefit		(13	)		142			67
Stock-based compensation		330			(607	)		16
Valuation allowance change		665			(2,500	)		348
Tax reserve change		(52	)		258			34
Federal manufacturing deduction		(313	)		(280	)		(268	)
U.S. Federal and foreign research and development credits		(706	)		(571	)		(74	)
Gain on strategic investment and corporate subsidiary		—			2,630			—
Foreign rate differential		948			622			—
Acquisition-related transaction costs		—			768			—
Contingent consideration (gain) expense		(45	)		522			—
Unrealized foreign currency exchange loss on    contingent consideration obligation		170			—			—
Other		(338	)		47			(214	)
Income tax provision	$	3,107		$	6,963		$	6,294

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):

	2017			2016
Depreciable assets	$	(3,335	)	$	(2,257	)
Accruals and reserves		1,123			1,153
Stock-based compensation		3,370			3,113
Impaired strategic investments		2,701			2,701
NOL carryforwards		3,627			3,324
U.S. Federal and state R&D credits		242			110
Other		810			730
Valuation allowance		(4,511	)		(3,847	)
Total deferred tax assets	$	4,027		$	5,027

Summary of Reconciliation of Unrecognized Tax Benefits

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

	2017			2016			2015
Beginning of fiscal year	$	1,508		$	1,248		$	1,216
Increases in tax positions for prior years		8			77			50
Decreases in tax positions for prior years		(35	)		(21	)		(10	)
Increases in tax positions for current year		216			365			146
Lapse of the statute of limitations		(216	)		(161	)		(154	)
End of fiscal year	$	1,481		$	1,508		$	1,248