XML 58 R43.htm IDEA: XBRL DOCUMENT v3.24.0.1

INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2023

INCOME TAXES

Schedule of domestic and foreign components of its income (loss) before income taxes

The Company is subject to United States federal, state, and local income taxes, as well as other foreign income taxes. The domestic and foreign components of its (loss) income before income taxes are as follows (in thousands):

​

​	​	​	​	​	​	​	​	​	​
​	​	Year Ended
​	​	December 31,
​		2023			2022			2021
(Loss) income before income taxes:		​			​			​
Domestic	​	$	(16,303)	​	$	2,574	​	$	(68,261)
Foreign	​		6,243	​		11,147	​		14,731
Total	​	$	(10,060)	​	$	13,721	​	$	(53,530)

Schedule of current and deferred income tax (benefit) expense

Current and deferred income tax (benefit) expense is composed of the following (in thousands):

​

​	​	​	​	​	​	​	​	​	​
​	​	Year Ended
​	​	December 31,
​		2023			2022			2021
Current income tax expense:		​			​			​
Domestic	​	$	1,225	​	$	22,133	​	$	19,855
Foreign	​		788	​		1,084	​		991
Total current tax expense	​		2,013	​		23,217	​		20,846
Deferred income tax (benefit) expense:	​			​			​
Domestic	​		(9,965)	​		(6,020)	​		(1,912)
Foreign	​		280	​		2,218	​		(10,116)
Total deferred tax (benefit)	​		(9,685)	​		(3,802)	​		(12,028)
Total income tax (benefit) expense	​	$	(7,672)	​	$	19,415	​	$	8,818

Schedule of reconciliation of statutory federal income tax rate with Company's effective income tax rate

The reconciliation of the statutory federal income tax rate with the Company’s effective income tax rate is as follows (% of (Loss) Income Before Income Taxes):

​

​	​	​	​	​	​	​	​	​	​
​		Year Ended		​	Year Ended		​	Year Ended
​		December 31, 2023		​	December 31, 2022		​	December 31, 2021
Federal statutory tax rate		21.0	%	​	21.0	%	​	21.0	%
Foreign rate differential		(5.6)	%	​	4.1	%	​	(1.4)	%
State income tax, net of federal benefit		14.0	%	​	14.0	%	​	(3.3)	%
Uncertain tax positions		101.7	%	​	2.1	%	​	(0.3)	%
Change in valuation allowance		(30.9)	%	​	—	%	​	23.8	%
GILTI (FDII)		(3.7)	%	​	(4.0)	%	​	0.8	%
Meals and entertainment		(3.1)	%	​	0.7	%	​	(0.2)	%
Foreign expenses not deductible for tax		(3.7)	%	​	3.2	%	​	(0.8)	%
Transaction costs not deductible for tax		—	%	​	18.8	%	​	(0.2)	%
Other non-deductible expense	​	(6.8)	%	​	—	%	​	—	%
Nondeductible stock compensation	​	(24.1)	%	​	67.3	%	​	(48.0)	%
Stock compensation shortfall (windfall)		(1.5)	%	​	1.2	%	​	—	%
Other compensation	​	(4.6)	%	​	—	%	​	(0.9)	%
Canadian branch income		1.3	%	​	8.8	%	​	(9.1)	%
Foreign tax restructuring	​	21.3	%	​	—	%	​	—	%
Other permanent items		0.9	%	​	4.3	%	​	2.1	%
​		76.2	%	​	141.5	%	​	(16.5)	%

Schedule of changes in valuation allowance

The following table summarizes changes in the valuation allowance (in thousands):

​	​	​	​	​	​	​	​	​	​
​	​	Year Ended
​	​	December 31,
​		2023			2022			2021
Balance at January 1	​	$	—	​	$	—	​	$	(12,704)
Additions	​		3,114	​		—	​		—
Deductions	​	​	—	​	​	—	​	​	12,704
Balance at December 31	​	$	3,114	​	$	—	​	$	—

Schedule of deferred income tax assets and liabilities

​

Deferred income tax assets and liabilities recorded on the balance sheets as of December 31, 2023 and 2022 consist of the following (in thousands):

​

​	​	​	​	​	​	​
​		December 31,
​	​	2023			2022
Deferred tax assets:		​			​
Net operating loss carryforwards	​	$	6,715	​	$	7,267
Capital loss carryforwards	​	​	3,114	​	​	—
Inventories, net	​		3,234	​		2,663
Warranty reserve	​		595	​		783
Trade receivables	​		1,737	​		719
Profits interest units	​		2,581	​		1,885
Section 163(j)	​		2,345	​		—
Accrued expenses	​		509	​		352
Transaction costs	​		1,052	​		1,211
Future branch taxes	​	​	(1,691)	​	​	(1,820)
Other	​		2,082	​		1,335
Gross deferred tax assets	​		22,273	​		14,395
Valuation allowance	​		(3,114)	​		—
Total deferred tax asset	​		19,159	​		14,395
Less: Foreign deferred tax benefit	​		(7,485)	​		(7,762)
Total domestic deferred tax asset	​		11,674	​		6,633
Deferred tax liabilities:	​			​
Intangible assets	​		(45,150)	​		(49,257)
Property and equipment, net	​		(5,656)	​		(6,078)
Prepaid expenses and other	​		(644)	​		(1,161)
Investments in partnerships	​	​	(312)	​	​	(318)
Total deferred tax liabilities	​		(51,762)	​		(56,814)
Net deferred tax liabilities	​	$	(40,088)	​	$	(50,181)

Schedule of reconciliation of beginning and ending amount of uncertain tax positions

The following is a reconciliation of the beginning and ending amount of uncertain tax positions (in thousands):

​

​	​	​	​	​	​	​
​	​	Year Ended
​	​	December 31,
​		2023			2022
Balance at the beginning of the year	​	$	10,303	​	$	10,011
Gross amounts of increases and decreases in unrecognized tax benefits as a result of tax positions taken during a prior period	​	​	379	​	​	—
Gross amounts of increases and decreases in unrecognized tax benefits as a result of tax positions taken during the current period	​	​	—	​	​	—
The amounts of decreases in the unrecognized tax benefits relating to settlements with taxing authorities	​		—	​		292
Reductions to unrecognized tax benefits as a result of a lapse of the applicable statute of limitations	​		(10,682)	​		—
Balance at the end of the year	​	$	—	​	$	10,303

​

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

Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Paragraph 9
-Section 50
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-9

+ Details

Name:	us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Paragraph 2
-Section 50
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-2

+ Details

Name:	us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the reconciliation using percentage or dollar amounts of the reported amount of income tax expense attributable to continuing operations for the year to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Paragraph 12
-Section 50
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-12

+ Details

Name:	us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of income before income tax between domestic and foreign jurisdictions.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 235
-SubTopic 10
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(1)(Note 1))
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480678/235-10-S99-1

+ Details

Name:	us-gaap_ScheduleOfIncomeBeforeIncomeTaxDomesticAndForeignTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of the change in unrecognized tax benefits.

+ References

Reference 1: http://www.xbrl.org/2003/role/exampleRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 55
-Paragraph 217
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482663/740-10-55-217

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 15A
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-15A

+ Details

Name:	us-gaap_ScheduleOfUnrecognizedTaxBenefitsRollForwardTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of valuation allowances to reduce deferred tax assets to net realizable value, including identification of the deferred tax asset more likely than not will not be fully realized and the corresponding amount of the valuation allowance.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 2
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147482685/740-10-50-2

+ Details

Name:	us-gaap_SummaryOfValuationAllowanceTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration