XML 32 R17.htm IDEA: XBRL DOCUMENT
v3.25.2

Income Taxes | 12 Months Ended
--- | ---
Jun. 30, 2025
Income Taxes |
Income Taxes | NOTE 8 - Income Taxes The provision for income taxes represents Federal, foreign, and state and local income taxes. The effective rate differs from statutory rates due to the effect of state and local income taxes, tax rates in foreign jurisdictions, global intangible low-taxed income (“GILTI”), tax benefit of R&D credits, and certain nondeductible expenses. Our effective tax rate will change based on recurring and non-recurring factors including, but not limited to, the geographical mix of earnings, enacted tax legislation, and state and local income taxes. The amounts of income before income taxes attributable to domestic and foreign operations were as follows: ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | For the Year ended June 30,
​ |  | 2025 |  | 2024 |  | 2023
​ |  | ​ |  |  | ​ |  |  | ​ |
Domestic | ​ | $ | 12,038 | ​ | $ | 6,936 | ​ | $ | 4,926
Foreign | ​ |  | 38,031 | ​ |  | 49,450 | ​ |  | 26,302
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Total | ​ | $ | 50,069 | ​ | $ | 56,386 | ​ | $ | 31,228
​ The provision for income taxes is comprised of the following (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | For the Year ended June 30,
​ |  | 2025 |  | 2024 |  | 2023
Current income taxes: |  | ​ |  |  | ​ |  |  | ​ |
Federal | ​ | $ | 6,817 | ​ | $ | 8,329 | ​ | $ | 5,899
State | ​ |  | 894 | ​ |  | 1,015 | ​ |  | 1,020
​ | ​ |  | 7,711 | ​ |  | 9,344 | ​ |  | 6,919
Deferred income taxes: | ​ |  | ​ | ​ |  | ​ | ​ | ​ | ​
Federal | ​ | ​ | (1,046) | ​ | ​ | (2,367) | ​ |  | (2,334)
State | ​ | ​ | (2) | ​ | ​ | (409) | ​ | ​ | (484)
​ | ​ | ​ | (1,048) | ​ |  | (2,776) | ​ |  | (2,818)
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Provision for income taxes | ​ | $ | 6,663 | ​ | $ | 6,568 | ​ | $ | 4,101
​ A reconciliation of the U.S. Federal statutory income tax rate to our actual effective tax rate on earnings before income taxes is as follows for the years ended June 30, (dollars in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | 2025 | ​ | ​ | 2024 |  | ​ | 2023 |
​ | ​ | ​ | ​ | ​ | % of | ​ | ​ | ​ | ​ | ​ | % of | ​ | ​ | ​ | ​ | ​ | % of | ​
​ | ​ | ​ | ​ | ​ | Pre-tax | ​ | ​ | ​ | ​ | ​ | Pre-tax | ​ | ​ | ​ | ​ | ​ | Pre-tax | ​
​ |  | Amount |  | Income |  | ​ | Amount |  | Income |  | ​ | Amount |  | Income |
Tax at Federal statutory rate | ​ | $ | 10,515 | ​ | 21.0 | % | ​ | $ | 11,841 | ​ | 21.0 | % | ​ | $ | 6,558 | ​ | 21.0 | %
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
Increases (decreases) in taxes resulting from: |  | ​ |  |  |  |  | ​ | ​ |  |  |  | ​ | ​ | ​ |  |  |  | ​
Meals and entertainment |  | ​ | 68 |  | 0.1 | % | ​ | ​ | 66 |  | 0.1 | % | ​ | ​ | 48 |  | 0.2 | %
State income taxes, net of Federal income tax benefit |  | ​ | 704 |  | 1.4 | % | ​ | ​ | 935 |  | 1.7 | % | ​ | ​ | 436 |  | 1.4 | %
Global intangible low-taxed income | ​ | ​ | 3,981 | ​ | 8.0 | % | ​ | ​ | 5,259 | ​ | 9.3 | % | ​ | ​ | 2,739 | ​ | 8.8 | %
R&D Credit |  | ​ | (461) |  | (0.9) | % | ​ | ​ | (632) |  | (1.1) | % | ​ | ​ | (661) |  | (2.1) | %
Executive Compensation |  | ​ | 183 |  | 0.4 | % | ​ | ​ | 47 |  | 0.1 | % | ​ | ​ | — |  | — | %
Foreign Source income not subject to Tax | ​ | ​ | (7,986) | ​ | (16.0) | % | ​ | ​ | (10,518) | ​ | (18.7) | % | ​ | ​ | (5,524) | ​ | (17.7) | %
Uncertain Tax Positions |  | ​ | (825) |  | (1.6) | % | ​ | ​ | 78 |  | 0.1 | % | ​ | ​ | 63 |  | 0.2 | %
Other, net |  | ​ | 484 |  | 0.8 | % | ​ | ​ | (508) |  | (0.9) | % | ​ | ​ | 442 |  | 1.4 | %
Effective tax rate | ​ | $ | 6,663 |  | 13.3 | % | ​ | $ | 6,568 |  | 11.6 | % | ​ | $ | 4,101 |  | 13.1 | %
​ Deferred tax assets and deferred tax liabilities at June 30, 2025 and 2024 are as follows (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Deferred Tax Assets (Liabilities)
​ |  | 2025 |  | 2024
Accounts receivable | ​ | $ | 6 | ​ | $ | 8
Inventories | ​ |  | 633 | ​ |  | 541
Accrued liabilities | ​ |  | 675 | ​ |  | 676
Stock based compensation expense | ​ |  | 474 | ​ |  | 452
Revenue reserves | ​ | ​ | 520 | ​ | ​ | 439
Unrealized loss on marketable securities | ​ | ​ | 69 | ​ | ​ | 136
Capitalized research and development cost | ​ | ​ | 6,181 | ​ | ​ | 5,447
Other | ​ | ​ | — | ​ | ​ | 2
Total Deferred Tax Assets | ​ | $ | 8,558 | ​ | $ | 7,701
Valuation allowance | ​ |  | — | ​ |  | —
Deferred income tax assets, net of valuation allowance | ​ | $ | 8,558 | ​ | $ | 7,701
​ | ​ | ​ | ​ | ​ | ​ | ​
Intangibles | ​ |  | (802) | ​ |  | (874)
Property, plant and equipment | ​ |  | (667) | ​ |  | (786)
Other deferred tax liabilities | ​ |  | (613) | ​ |  | (613)
Total Deferred Tax Liability | ​ | $ | (2,082) | ​ | $ | (2,273)
​ | ​ | ​ | ​ | ​ | ​ | ​
Net Deferred Tax Asset | ​ | $ | 6,476 | ​ | $ | 5,428
​ The Company has identified the United States and New York State as its major tax jurisdictions. Fiscal years 2021 and forward are still open for examination, in addition to fiscal year 2018, which is subject to a six year statute of limitations. In addition, the Company has a wholly-owned subsidiary which operates in a Free Zone in the Dominican Republic (“DR”) and is exempt from DR income tax. The provision for income taxes represents Federal, foreign, and state and local income taxes. The effective rate differs from statutory rates due to the effect of tax rates in foreign jurisdictions, state and local income taxes, tax benefit of R&D credits, certain nondeductible expenses, uncertain tax positions and global intangible low-taxed income ("GILTI"). During the year ending June 30, 2025, the Company decreased its reserve for uncertain income tax positions due to lapses in Federal and state statutes. The result of this decrease was a tax benefit of $825,000. The Company’s practice is to recognize interest and penalties related to income tax matters in income tax expense and accrued income taxes. As of June 30, 2025, the Company had accrued interest totaling $5,000, penalties totaling $5,000, and $22,000 of unrecognized net tax benefits that, if recognized, would favorably affect the Company’s effective income tax rate in any future period. The Company does not expect that its unrecognized tax benefits will significantly change within the next twelve months. The Company claims R&D tax credits on eligible research and development expenditures. The R&D tax credits are recognized as a reduction to income tax expense. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | 2025 |  | 2024 |  | 2023
Balance of gross unrecognized tax benefits as of Beginning of Year | ​ | $ | 700 | ​ | $ | 700 | ​ | $ | 678
Increase to unrecognized tax benefits resulting from a state filing tax position | ​ |  | — | ​ |  | — | ​ |  | 22
Decrease to unrecognized tax benefits resulting from an expiration of a statute | ​ | ​ | (678) | ​ | ​ | — | ​ | ​ | —
Balance of gross unrecognized tax benefits as of End of Year | ​ | $ | 22 | ​ | $ | 700 | ​ | $ | 700
​ Subsequent to year end, on July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was signed into law. Key income tax-related provisions of the OBBBA relevant to the Company include the removal of mandatory capitalization of domestic research and development expenditures, permanent extension of bonus depreciation and revisions to international tax regimes. The Company is evaluating the financial implications of the OBBBA and will begin reflecting its effects in its first quarter of fiscal 2026.

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for income tax. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 942 -SubTopic 740 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147477617/942-740-50-1 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480738/235-10-S50-1 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 944 -SubTopic 740 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478822/944-740-50-1 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12 Reference 5: http://www.xbrl.org/2003/role/exampleRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 231 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482663/740-10-55-231 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12C -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12C Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12B -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12B Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 270 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org/1943274/2147477891/740-270-50-1 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SAB Topic 6.I.5.Q1) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479360/740-10-S99-1 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 946 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480990/946-20-50-13 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(2)) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/740/tableOfContent Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 14 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-14 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-21 Reference 15: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 17 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-17 Reference 16: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479360/740-10-S99-2 Reference 17: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482603/740-30-50-2 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration