XML 35 R20.htm IDEA: XBRL DOCUMENT
v3.25.2

Income Taxes | 12 Months Ended
--- | ---
Apr. 30, 2025
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes Income tax expense/(benefit) from operations consists of the following (in thousands):
|  | For the Years Ended April 30,
|  | 2025 |  | 2024 |  | 2023
Current: |  |  |  |  |  |
Federal (a) |  | $ | 48 |  |  | $ | 5 |  |  | $ | (126) |
State (b) |  | 64 |  |  | (79) |  |  | (123) |
Foreign |  | 11 |  |  | 4 |  |  | — |
Total current |  | 123 |  |  | (70) |  |  | (249) |
Deferred: |  |  |  |  |  |
Deferred federal |  | — |  |  | — |  |  | — |
Deferred state |  | — |  |  | — |  |  | — |
Total deferred |  | — |  |  | — |  |  | — |
Total income tax expense/(benefit) |  | $ | 123 |  |  | $ | (70) |  |  | $ | (249) |
The following table presents a reconciliation of the provision for income taxes from operations at statutory rates to the provision (benefit) in the consolidated financial statements (in thousands):
|  | For the Years Ended April 30,
|  | 2025 |  | 2024 |  | 2023
Federal income taxes expected at the statutory rate (c) |  | $ | 10 |  |  | $ | (2,587) |  |  | $ | (2,577) |
State income taxes, less federal income tax benefit |  | 14 |  |  | (132) |  |  | (303) |
Stock compensation |  | 249 |  |  | 436 |  |  | 96 |
Research and development tax credit |  | (149) |  |  | (203) |  |  | (200) |
Change in deferred tax valuation allowance |  | (192) |  |  | 2,257 |  |  | 2,600 |
Other |  | 191 |  |  | 159 |  |  | 135 |
Total income tax expense/(benefit) |  | $ | 123 |  |  | $ | (70) |  |  | $ | (249) |
_____________________________________________________________________ (a)Federal current expense is net of $875,000 tax benefit of operating loss carryforwards. (b)State current expense is net of $95,000 tax benefit of operating loss carryforwards. (c)We had a federal statutory rate of 21% in fiscal 2025, 2024, and 2023. Deferred tax assets (liabilities) related to temporary differences are the following (in thousands):
| April 30, 2025 |  | April 30, 2024
Non-current tax assets (liabilities): |  |
Inventories | $ | 1,321 |  |  | $ | 1,100 |
Accrued expenses, including compensation | 2,261 |  |  | 1,589 |
Workers' compensation | 13 |  |  | 10 |
Warranty reserve | 322 |  |  | 286 |
Stock-based compensation | 991 |  |  | 1,066 |
State bonus depreciation | 56 |  |  | 110 |
Property, plant, and equipment | (1,974) |  |  | (2,619) |
Intangible assets | 11,059 |  |  | 11,777 |
Right-of Use assets | (7,401) |  |  | (7,740) |
Right-of Use lease liabilities | 7,724 |  |  | 7,985 |
Capitalized R&D | 2,649 |  |  | 2,136 |
Other | (182) |  |  | (83) |
Loss and credit carryforwards | 2,267 |  |  | 3,681 |
Less valuation allowance | (19,106) |  |  | (19,298) |
Net deferred tax asset/(liability) — total | $ | — |  |  | $ | — |
As of April 30, 2025, federal and state net operating loss, or NOL, carryforwards were $7.7 million and $5.4 million, respectively, and $382,000 of federal research & development tax credits. The tax-effected deferred tax assets recorded for federal and state NOL carryforwards were $1.6 million and $278,000, respectively. Under legislation enacted in 2017, informally titled the Tax Cuts and Jobs Act, or Tax Act, federal NOLs incurred in taxable years ending after December 31, 2017, may be carried forward indefinitely. The federal research and development credits of $382,000, which, if unused, will expire between April 30, 2043 and 2044. State NOL carryforwards of $4.5 million, which, if unused, will expire in years April 30, 2033 through April 30, 2044. The remaining $900,000 of the state NOL carryforwards may also be carried forward indefinitely. As of April 30, 2025, we continued to maintain a full valuation allowance of $19.1 million against our net deferred income tax assets based on management's assessment that it was more likely than not that our deferred income tax assets will not be recovered. We will continue to evaluate the need for a valuation allowance on our deferred tax assets until there is sufficient positive evidence to support the reversal of all or some portion of these allowances. As of April 30, 2024, we maintained a full valuation allowance of $19.3 million against our net deferred income tax assets based on management's assessment that it was more likely than not that our deferred income tax assets will not be recovered. The income tax provisions (benefit) represent effective tax rates of 267.4%, 0.6%, and 2.0% for the fiscal years ended April 30, 2025, 2024, and 2023, respectively. U.S. income taxes have not been provided on $400,000 of undistributed earnings of our foreign subsidiary since it is our intention to permanently reinvest such earnings offshore. If the earnings were distributed in the form of dividends, we would not be subject to U.S. tax as a result of the Tax Act but could be subject to foreign income and withholding taxes. Determination of the amount of this unrecognized deferred income tax liability is not practical. As of April 30, 2025 and 2024, we did not have any gross tax-effected unrecognized tax benefits. With limited exception, we are subject to U.S. federal, state, and local, or non-U.S. income tax audits by tax authorities for fiscal years subsequent to April 30, 2021. On March 7, 2023, the Internal Revenue Service (“IRS”) initiated an examination of our Federal income tax return filed for the tax period ended April 30, 2022. On January 10, 2024, we were notified from the IRS that they had concluded their examination. As a result of their examination procedures, our tax liability was unchanged for the tax period under examination, and there was no impact to our consolidated financial statements.

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 The entire disclosure for income tax. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 942 -SubTopic 740 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147477617/942-740-50-1 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480738/235-10-S50-1 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 944 -SubTopic 740 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147478822/944-740-50-1 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12 Reference 5: http://www.xbrl.org/2003/role/exampleRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 231 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482663/740-10-55-231 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12C -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12C Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12B -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-12B Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 270 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Publisher FASB -URI https://asc.fasb.org/1943274/2147477891/740-270-50-1 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SAB Topic 6.I.5.Q1) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479360/740-10-S99-1 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 946 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480990/946-20-50-13 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(h)(2)) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480678/235-10-S99-1 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/740/tableOfContent Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 14 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-14 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-21 Reference 15: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 17 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482685/740-10-50-17 Reference 16: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 11.C) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479360/740-10-S99-2 Reference 17: http://www.xbrl.org/2003/role/disclosureRef -Topic 740 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482603/740-30-50-2 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration