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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2023
Income Tax Disclosure [Abstract] |
Schedule of Income before Income Tax, Domestic and Foreign | The following are domestic and foreign components of the Company’s income (loss) before income taxes (in thousands):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
Domestic | $ | 67,643 |  |  | $ | 71,136 |  |  | $ | (11,127) |
Foreign | 2,907 |  |  | 2,948 |  |  | 1,851 |
Income (loss) before income taxes | $ | 70,550 |  |  | $ | 74,084 |  |  | $ | (9,276) |
Schedule of Components of Income Tax Expense (Benefit) | The components of the Company's income tax expense (benefit) are as follows (in thousands):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
Current: |  |  |  |  |
Federal | $ | 30,124 |  |  | $ | 6,099 |  |  | $ | — |
State and local | 8,498 |  |  | 4,394 |  |  | 438 |
Foreign | 801 |  |  | 2,373 |  |  | 1,632 |
Total current income tax expense | 39,423 |  |  | 12,866 |  |  | 2,070 |
Deferred: |  |  |  |  |
Federal | (14,866) |  |  | (5,517) |  |  | (10,147) |
State and local | (2,414) |  |  | 5,191 |  |  | (4,702) |
Foreign | (691) |  |  | 50 |  |  | (97) |
Total deferred income tax benefit | (17,971) |  |  | (276) |  |  | (14,946) |
Total income tax expense (benefit) | $ | 21,452 |  |  | $ | 12,590 |  |  | $ | (12,876) |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the income taxes computed at the U.S. federal statutory tax rate of 21% to the income tax expense (benefit) is as follows (in thousands):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
U.S. federal statutory income tax rate | $ | 14,816 |  |  | $ | 15,559 |  |  | $ | (1,948) |
State and local income taxes, net of federal benefit | 5,002 |  |  | 3,451 |  |  | (2,102) |
Foreign derived intangible income deduction | (1,110) |  |  | (519) |  |  | — |
Foreign rate differential | (1,872) |  |  | 56 |  |  | 250 |
Stock-based compensation | 7,931 |  |  | (435) |  |  | (18,518) |
Transaction costs | — |  |  | — |  |  | 4,792 |
Officers compensation limitation | 2,356 |  |  | 2,146 |  |  | 7,828 |
Non-deductible expenses | 909 |  |  | 315 |  |  | 235 |
Tax credits | (9,189) |  |  | (17,598) |  |  | (3,112) |
Uncertain tax positions | 1,449 |  |  | — |  |  | — |
Change in valuation allowance | 2,282 |  |  | 12,654 |  |  | — |
Return to provision | (1,532) |  |  | (3,775) |  |  | (389) |
Other | 410 |  |  | 736 |  |  | 88 |
Income tax expense (benefit) | $ | 21,452 |  |  | $ | 12,590 |  |  | $ | (12,876) |
Schedule of Deferred Tax Assets and Liabilities | The components of deferred tax assets and liabilities are as follows (in thousands):
| Year Ended December 31,
| 2023 |  | 2022 |  |
Deferred income tax assets: |  |  |  |  |
Net operating loss carryforwards | $ | 409 |  |  | $ | 1,116 |  |  |
Stock-based compensation | 3,892 |  |  | 3,471 |  |  |
Accrued expenses | 7,349 |  |  | 7,201 |  |  |
Tax credit carryforwards | 15,606 |  |  | 16,792 |  |  |
Capitalized development | 51,541 |  |  | 26,578 |  |  |
Operating lease liabilities | 3,358 |  |  | 4,471 |  |  |
Total deferred tax assets | 82,155 |  |  | 59,629 |  |  |
Less valuation allowance | (14,935) |  |  | (12,748) |  |  |
Net deferred tax assets | 67,220 |  |  | 46,881 |  |  |
Deferred tax liabilities: |  |  |  |  |
Property and equipment | (736) |  |  | (927) |  |  |
Operating lease right-of-use assets | (2,233) |  |  | (2,842) |  |  |
Intangible assets and goodwill | (4,635) |  |  | (2,006) |  |  |
Unremitted earnings of foreign subsidiaries | (776) |  |  | (348) |  |  |
Deferred commissions | (2,346) |  |  | (2,454) |  |  |
Other | (220) |  |  | — |  |  |
Total deferred tax liabilities | (10,946) |  |  | (8,577) |  |  |
Total net deferred tax assets | $ | 56,274 |  |  | $ | 38,304 |  |  |
Schedule of Valuation Allowance | The change in the valuation allowance was comprised of the following (in thousands):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
Valuation allowance, at beginning of year | $ | 12,748 |  |  | $ | — |  |  | $ | — |
Increase in valuation allowance recorded through earnings | 2,281 |  |  | 12,654 |  |  | — |
Decrease in valuation allowance recorded through other comprehensive income | (94) |  |  | — |  |  | — |
Increase in valuation allowance recorded through other comprehensive income | — |  |  | 94 |  |  | — |
Valuation allowance, at end of year | $ | 14,935 |  |  | $ | 12,748 |  |  | $ | — |
Schedule of Unrecognized Tax Benefits Roll Forward | The following is a reconciliation of the total amounts of unrecognized tax benefits (in thousands):
| Year Ended December 31,
| 2023 |  | 2022 |  | 2021
Unrecognized tax benefit, beginning of year: | $ | 17,077 |  |  | $ | 6,337 |  |  | $ | 5,121 |
Gross increases - tax positions in prior year | 3,912 |  |  | 7,720 |  |  | 281 |
Gross increases - tax positions in current year | 3,341 |  |  | 3,020 |  |  | 935 |
Gross decreases - tax positions in prior year | — |  |  | — |  |  | — |
Gross decreases - tax positions in current year | — |  |  | — |  |  | — |
Unrecognized tax benefit, end of year | $ | 24,330 |  |  | $ | 17,077 |  |  | $ | 6,337 |

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