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INCOME TAXES (Tables) | 12 Months Ended
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Oct. 31, 2023
INCOME TAXES |
Schedule of Income Taxes Provision (Benefit) | In the fiscal years set forth below, the provision (benefit) for income taxes consisted of the following (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Year Ended October 31,
​ |  | 2023 |  | 2022 |  | 2021
Current: |  | ​ |  |  | ​ | ​ |  | ​ |
U.S. taxes | ​ | $ | (431) |  | $ | 1,092 | ​ | $ | 1,763
Foreign taxes | ​ |  | 2,775 | ​ |  | 3,191 | ​ |  | 1,706
​ | ​ |  | 2,344 | ​ |  | 4,283 | ​ |  | 3,469
Deferred: | ​ |  | ​ | ​ |  | ​ | ​ |  | ​
U.S. taxes | ​ |  | 104 | ​ |  | (933) | ​ |  | 66
Foreign taxes | ​ |  | (83) | ​ |  | 302 | ​ |  | (178)
​ | ​ |  | 21 | ​ |  | (631) | ​ |  | (112)
​ | ​ | $ | 2,365 |  | $ | 3,652 | ​ | $ | 3,357
Components of Income (Loss) Before Taxes | The components of income (loss) before taxes are (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Year Ended October 31,
​ |  | 2023 |  | 2022 |  | 2021
Income (loss) before income taxes: |  | ​ |  |  | ​ |  |  | ​ |
Domestic | ​ | $ | (3,259) |  | $ | (232) |  | $ | 4,340
Foreign | ​ |  | 10,013 |  |  | 12,110 |  |  | 5,781
​ | ​ | $ | 6,754 |  | $ | 11,878 |  | $ | 10,121
Schedule of Reconciliation of Statutory Tax Rate to Effective Tax Rate | ​
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | Year Ended October 31, |
​ |  | 2023 |  | 2022 |  | 2021 |
​ | ​ |  | ​ | ​ |  | ​ | ​ |  |  |
U.S. statutory rate | ​ |  | 21 | % |  | 21 | % |  | 21 | %
Effect of tax rate of international jurisdictions different than U.S. statutory rates | ​ |  | 6 | % |  | 4 | % |  | 4 | %
Valuation allowance | ​ |  | 2 | % |  | 3 | % |  | — | %
State taxes | ​ |  | (1) | % |  | 1 | % |  | 1 | %
Tax credits | ​ |  | — | % |  | 1 | % |  | — | %
U.S. benefit of foreign intangible income | ​ | ​ | — | % | ​ | (3) | % | ​ | (1) | %
Impact of CARES act | ​ | ​ | — | % | ​ | — | % | ​ | 5 | %
Stock-based compensation | ​ | ​ | 6 | % | ​ | 4 | % | ​ | 4 | %
Other | ​ |  | 1 | % |  | — | % |  | (1) | %
Effective tax rate | ​ |  | 35 | % |  | 31 | % |  | 33 | %
Schedule of Deferred Tax Assets and Liabilities | Significant components of our deferred tax assets and liabilities at October 31, 2023 and 2022 are as follows (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​
​ | ​ | October 31,
​ |  | 2023 |  | 2022
Deferred Tax Assets: |  | ​ |  |  | ​ |
Accrued inventory reserves | ​ | $ | 1,580 |  | $ | 1,329
Accrued warranty expenses | ​ |  | 241 | ​ |  | 270
Compensation related expenses | ​ |  | 2,222 | ​ |  | 2,495
Net derivative gain | ​ | ​ | 683 | ​ | ​ | 98
Unrealized exchange gain | ​ |  | — | ​ |  | 117
Other accrued expenses | ​ |  | 344 | ​ |  | 318
Net operating loss carryforwards | ​ |  | 2,249 | ​ |  | 1,449
Other credit carryforwards | ​ |  | 712 | ​ |  | 703
Operating lease liabilities | ​ | ​ | 2,818 | ​ | ​ | 2,023
Goodwill and intangibles | ​ | ​ | 798 | ​ | ​ | 831
Other | ​ |  | 131 | ​ |  | 171
​ | ​ |  | 11,778 | ​ |  | 9,804
Less: Valuation allowance – net operating loss and other credit carryforwards | ​ |  | (1,810) | ​ |  | (1,754)
Deferred tax assets | ​ |  | 9,968 | ​ |  | 8,050
​ | ​ |  | ​ | ​ |  | ​
Deferred Tax Liabilities: | ​ |  | ​ | ​ |  | ​
Unrealized exchange loss | ​ |  | (159) | ​ |  | —
Property and equipment and capitalized software development costs | ​ |  | (1,915) | ​ |  | (2,394)
Operating lease - right of use assets | ​ | ​ | (2,731) | ​ | ​ | (1,960)
Other | ​ |  | (497) | ​ |  | (321)
Net deferred tax assets | ​ | $ | 4,666 |  | $ | 3,375
Schedule of Income Tax Expense | A reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding the related accrual for interest or penalties, is as follows (in thousands):
​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​ | ​
​ |  | 2023 |  | 2022 |  | 2021
Balance, beginning of year | ​ | $ | 138 |  | $ | 167 | ​ | $ | 168
Additions based on tax positions related to the current year | ​ |  | — | ​ |  | 21 | ​ |  | 74
Additions (reductions) related to prior year tax positions | ​ |  | — | ​ |  | — | ​ |  | —
Reductions due to statute expiration | ​ |  | — | ​ |  | (50) | ​ |  | (75)
Balance, end of year | ​ | $ | 138 |  | $ | 138 | ​ | $ | 167
Summary of open tax years by major jurisdiction | ​
​ | ​ | ​
United States federal | ​ | Fiscal 2014 through the current period
United Kingdom | ​ | Fiscal 2017 through the current period
Taiwan | ​ | Fiscal 2018 through the current period
Germany¹ | ​ | Fiscal 2022 through the current period
¹ | Includes federal as well as state, provincial or similar local jurisdictions, as applicable.

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- Definition Tabular disclosure for tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities and other income tax contingencies. Includes, but is not limited to, interest and penalties, reconciliation of unrecognized tax benefits, unrecognized tax benefits that would affect the effective tax rate, tax years that remain subject to examination by tax jurisdictions, and information about positions for which it is reasonably possible that amounts unrecognized will significantly change within 12 months. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-15 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -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 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 19 -SubTopic 10 -Topic 740 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482685/740-10-50-19 + Details
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