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Income Taxes (Tables) | 12 Months Ended
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Sep. 30, 2022
Income Tax Disclosure [Abstract] |
Schedule of Components of Income Taxes | The components of income before income taxes are (in thousands):
| Year ended September 30,
| 2022 |  | 2021 |  | 2020
United States | $ | 13,220 |  |  | $ | 5,380 |  |  | $ | 3,756 |
International | 5,408 |  |  | 3,619 |  |  | 3,707 |
Income before income taxes | $ | 18,628 |  |  | $ | 8,999 |  |  | $ | 7,463 |
Schedule of Components of Income Tax Provision | The components of the income tax benefit are (in thousands):
| Year ended September 30,
| 2022 |  | 2021 |  | 2020
Current: |  |  |  |  |
Federal | $ | 281 |  |  | $ | 1,388 |  |  | $ | 709 |
State | 766 |  |  | 242 |  |  | 572 |
Foreign | 1,277 |  |  | 1,678 |  |  | 1,128 |
Deferred: |  |  |  |  |
Federal | (2,982) |  |  | (3,627) |  |  | (2,911) |
State | — |  |  | (618) |  |  | — |
Foreign | (97) |  |  | (430) |  |  | (446) |
Income tax (benefit) expense | $ | (755) |  |  | $ | (1,367) |  |  | $ | (948) |
Schedule of Net Deferred Tax Asset | Net deferred tax liability consists of (in thousands):
| As of September 30,
| 2022 |  | 2021
Non-current deferred tax asset | $ | — |  |  | $ | 439 |
Non-current deferred tax liability | (9,666) |  |  | (13,493) |
Net deferred tax liability | $ | (9,666) |  |  | $ | (13,054) |
Depreciation and amortization | $ | (4,930) |  |  | $ | (1,399) |
Lease asset | (3,392) |  |  | (3,683) |
Lease liability | 4,497 |  |  | 4,941 |
Inventories | 2,586 |  |  | 755 |
Compensation costs | 3,999 |  |  | 4,064 |
Other accruals | 7,413 |  |  | 6,387 |
Tax credit carryforwards | 7,445 |  |  | 3,026 |
Valuation allowance | (2,976) |  |  | (2,186) |
Identifiable intangible assets | (24,308) |  |  | (24,959) |
Net deferred tax liability | $ | (9,666) |  |  | $ | (13,054) |
Schedule of Effective Income Tax Rate Reconciliation | The reconciliation of the statutory federal income tax amount to our income tax benefit is (in thousands):
| Year ended September 30,
| 2022 |  | 2021 |  | 2020
Statutory income tax amount | $ | 3,912 |  |  | $ | 1,890 |  |  | $ | 1,567 |
Increase (decrease) resulting from: |  |  |  |  |
State taxes, net of federal benefits | 85 |  |  | 319 |  |  | 392 |
Transaction costs | 2 |  |  | 60 |  |  | 143 |
Employee stock purchase plan | 98 |  |  | 79 |  |  | 127 |
Foreign operations | 1,552 |  |  | 556 |  |  | 431 |
Non-deductible executive compensation | 291 |  |  | 150 |  |  | 115 |
Change in valuation allowance | — |  |  | (2,187) |  |  | 173 |
Capital Loss Expiration | — |  |  | 2,301 |  |  | — |
Utilization of research and development tax credits | (2,780) |  |  | (3,116) |  |  | (2,881) |
Deferred balance sheet remeasure | — |  |  | (952) |  |  | — |
ASU 2016-09 excess stock compensation | (2,967) |  |  | (1,131) |  |  | (673) |
Contingent consideration | (1,239) |  |  | 1,212 |  |  | (27) |
Changes from provision to return | 413 |  |  | (458) |  |  | (111) |
Adjustment of tax contingency reserves | 417 |  |  | 329 |  |  | 151 |
U.S. deduction for foreign export sales | (584) |  |  | (630) |  |  | (355) |
Global intangible low-taxed income | — |  |  | 33 |  |  | 31 |
Other, net | 45 |  |  | 178 |  |  | (31) |
Income tax (benefit) expense | $ | (755) |  |  | $ | (1,367) |  |  | $ | (948) |
Schedule of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is (in thousands):
| Year ended September 30,
| 2022 |  | 2021 |  | 2020
Unrecognized tax benefits at beginning of fiscal year | $ | 2,908 |  |  | $ | 2,600 |  |  | $ | 1,713 |
Increases related to: |  |  |  |  |
Prior year income tax positions | — |  |  | 40 |  |  | 756 |
Current year income tax positions | 524 |  |  | 507 |  |  | 425 |
Decreases related to: |  |  |  |  |
Prior year income tax positions | (21) |  |  | (155) |  |  | — |
Settlements | — |  |  | — |  |  | (7) |
Expiration of statute of limitations | (95) |  |  | (84) |  |  | (287) |
Unrecognized tax benefits at end of fiscal year | $ | 3,316 |  |  | $ | 2,908 |  |  | $ | 2,600 |

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