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Income Taxes Income Taxes (Tables) | 12 Months Ended
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Sep. 30, 2014
Income Tax Disclosure [Abstract] |
Schedule of Components of the Provision (Benefit) for Income Taxes | The components of the provision (benefit) for income taxes are as follows:
| Year Ended September 30,
| 2014 |  | 2013 |  | 2012
| (dollars in thousands)
Current: |  |  |  |  |
United States | $ | 370 |  |  | $ | (150 | ) |  | $ | 2,440 |
Foreign | 530 |  |  | 800 |  |  | (9,380 | )
State | 80 |  |  | (110 | ) |  | (90 | )
Total current | 980 |  |  | 540 |  |  | (7,030 | )
Deferred: |  |  |  |  |
United States | (490 | ) |  | (290 | ) |  | — |
Foreign | 750 |  |  | 1,610 |  |  | 1,700 |
State | — |  |  | — |  |  | 10 |
Total deferred | 260 |  |  | 1,320 |  |  | 1,710 |
Total provision (benefit) | $ | 1,240 |  |  | $ | 1,860 |  |  | $ | (5,320 | )
Reconciliation of Actual Income Taxes to Expected Federal Corporate Income Taxes | A reconciliation of actual income taxes to income taxes at the expected United States federal corporate income tax rate of thirty-four percent is as follows:
| Year Ended September 30,
| 2014 |  | 2013 |  | 2012
| (dollars in thousands)
Tax provision (benefit) at the U.S. rate | $ | (4,440 | ) |  | $ | (6,750 | ) |  | $ | (11,190 | )
Effect of permanent book-tax differences | 30 |  |  | 970 |  |  | 2,010 |
State tax provision | 80 |  |  | (110 | ) |  | (80 | )
Valuation allowance for net deferred tax assets | 3,900 |  |  | 5,850 |  |  | 1,740 |
Uncertain tax items | 370 |  |  | 450 |  |  | (240 | )
Expiration of foreign net operating loss | — |  |  | — |  |  | 2,320 |
Difference between U.S. and foreign rates | 1,000 |  |  | 1,440 |  |  | — |
Other items | 300 |  |  | 10 |  |  | 120 |
| $ | 1,240 |  |  | $ | 1,860 |  |  | $ | (5,320 | )
Schedule of Deferred Tax Assets and Deferred Tax Liability | The tax effects of temporary book-tax differences that give rise to significant portions of the deferred tax assets and deferred tax liability are as follows:
| Year Ended September 30,
| 2014 |  | 2013 |  | 2012
| (dollars in thousands)
Deferred tax assets - current: |  |  |  |  |
Capitalized inventory costs | $ | 230 |  |  | $ | 130 |  |  | $ | 90 |
Inventory write-downs | 950 |  |  | 620 |  |  | 600 |
Accrued warranty | 180 |  |  | 200 |  |  | 20 |
Deferred profits | 1,460 |  |  | 800 |  |  | 2,510 |
Accruals and reserves not currently deductible | 520 |  |  | 490 |  |  | 240 |
Deferred tax assets - current | $ | 3,340 |  |  | $ | 2,240 |  |  | $ | 3,460 |
Valuation allowance | (2,280 | ) |  | (910 | ) |  | — |
Deferred tax assets - current net of valuation allowance | $ | 1,060 |  |  | $ | 1,330 |  |  | $ | 3,460 |
Deferred tax assets (liabilities)- non-current: |  |  |  |  |
Stock option expense | $ | 670 |  |  | $ | 700 |  |  | $ | 470 |
Book vs. tax basis of acquired assets | (1,210 | ) |  | (1,130 | ) |  | (1,280 | )
Federal net operating loss caryforwards | 900 |  |  | — |  |  | — |
Foreign and state net operating losses | 8,070 |  |  | 9,000 |  |  | 3,640 |
Book vs. tax depreciation and amortization | (10 | ) |  | 60 |  |  | 100 |
Foreign tax credits | — |  |  | 520 |  |  | — |
Other deferred tax assets | 2,950 |  |  | (350 | ) |  | 140 |
Total deferred tax assets - non-current | 11,370 |  |  | 8,800 |  |  | 3,070 |
Valuation allowance | (10,070 | ) |  | (7,540 | ) |  | (2,600 | )
Deferred tax assets (liabilities) - non-current, net of valuation allowance | $ | 1,300 |  |  | $ | 1,260 |  |  | $ | 470 |
Changes in Deferred Tax Valuation Allowance | Changes in the deferred tax valuation allowance are as follows:
| Year Ended September 30,
| 2014 |  | 2013 |  | 2012
| (dollars in thousands)
Balance at the beginning of the year | $ | 8,450 |  |  | $ | 2,600 |  |  | $ | 860 |
Additions to valuation allowance | 3,900 |  |  | 5,850 |  |  | 1,740 |
Balance at the end of the year | $ | 12,350 |  |  | $ | 8,450 |  |  | $ | 2,600 |
Schedule of Unrecognized Tax Benefit Liabilities | A reconciliation of the beginning and ending amount of our unrecognized tax benefits is summarized as follows:
| Year Ended September 30,
| 2014 |  | 2013 |  | 2012
| (dollars in thousands)
Balances at beginning of the year | $ | 2,810 |  |  | $ | 2,360 |  |  | $ | 2,630 |
Additions (reductions) related to current year tax positions | — |  |  | — |  |  | (390 | )
Additions related to tax positions taken in prior years | 370 |  |  | 530 |  |  | 360 |
Reductions related to settlements with tax authorities | — |  |  | — |  |  | (240 | )
Reductions due to lapse of statute of limitations | — |  |  | (80 | ) |  | — |
Balance at the end of the year | $ | 3,180 |  |  | $ | 2,810 |  |  | $ | 2,360 |

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- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 + Details
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- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 + Details
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- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32687-109319 + Details
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- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Glossary Valuation Allowance -URI http://asc.fasb.org/extlink&oid=6528051 + Details
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