XML 60 R49.htm IDEA: XBRL DOCUMENT v3.25.1

Income Taxes (Tables)

12 Months Ended

Jan. 31, 2025

Income Tax Disclosure [Abstract]

Components of Income (Loss) before Income Taxes

The components of income (loss) before income taxes are as follows:

		2025				2024				2023
(In thousands)
Domestic		$	5,605			$	5,448			$	1,773
Foreign			(17,892	)			625				1,637
		$	(12,287	)		$	6,073			$	3,410

Components of Provision for Income Taxes

The components of the provision for income taxes are as follows:

		2025				2024				2023
(In thousands)
Current:
Federal		$	1,125			$	966			$	902
State			134				71				313
Foreign			153				420				870
			1,412				1,457				2,085
Deferred:
Federal		$	(621	)		$	(32	)		$	(1,053	)
State			(13	)			2				(315	)
Foreign			1,424				(48	)			32
			790				(78	)			(1,336	)
		$	2,202			$	1,379			$	749

Reconciliation of income tax provision/(benefit) With The Amount Computed By Applying The Statutory Federal Income Tax Rate To The Income Before Income Tax Provision/(benefit)

Total income tax provision differs from the expected tax provision as a result of the following:

		2025				2024				2023
(In thousands)
Income Tax Provision at Statutory Rate		$	(2,579	)		$	1,275			$	716
Goodwill Impairment			2,814				—				—
Portugal Tax Incentives - Valuation Allowance			2,373				—				—
Foreign Rate Differential			163				197				157
Change in Reserves Related to ASC 740 Liability			133				60				93
Transaction Costs			121				—				—
State Taxes, Net of Federal Tax Effect			96				56				(2	)
Meals and Entertainment			21				14				—
Change in Valuation Allowance			(68	)			73				182
Share Based Compensation			(74	)			(43	)			(52	)
Foreign Derived Intangible Income			(151	)			(98	)			(180	)
R&D Credits			(205	)			(160	)			(160	)
Return to Provision Adjustment			(363	)			12				(22	)
Other			(79	)			(7	)			17
		$	2,202			$	1,379			$	749

Tax Effects of Temporary Differences that gave Rise to Significant Portions of Deferred Tax Assets and Liabilities

The components of deferred income tax expense arise from various temporary differences and relate to items included in the statement of income. The tax effects of temporary differences that gave rise to significant portions of the deferred tax assets and liabilities are as follows:

		January 31,
(In thousands)		2025				2024
Deferred Tax Assets:
Honeywell Royalty Liability		$	4,280			$	3,561
Section 174 Capitalization			2,894				1,981
Portugal Tax Incentives			2,373				—
Inventory			1,994				2,242
State R&D Credits			1,721				2,160
Net Operating Loss			886				199
Share-Based Compensation			575				590
Portugal Statutory Tax Adjustments			541				—
Compensation Accrual			285				276
Foreign Tax Credit			154				154
Bad Debt			115				134
Warranty Reserve			120				171
ASC 842 Adjustment – Lease Liability			87				38
Deferred Service Contract Revenue			—				100
Unrecognized State Tax Benefits			—				49
Other			563				381
			16,588				12,036
Deferred Tax Liabilities:
Accumulated Tax Depreciation in Excess of Book Depreciation			1,632				1,491
Intangibles			1,544				989
Purchase Price Accounting			270				—
Portugal Statutory Tax Adjustments			110				—
ASC 842 Adjustment – Lease Liability			87				33
Other			154				206
			3,797				2,719
Subtotal			12,791				9,317
Valuation Allowance			(4,400	)			(2,534	)
Net Deferred Tax Assets		$	8,391			$	6,783

Deferred taxes are reflected in the consolidated balance sheet as follows:

		January 31,
(In thousands)		2025				2024
Deferred Tax Assets			8,431				6,882
Deferred Tax Liabilities			(40	)			(99	)
Total Net Deferred Tax Assets		$	8,391			$	6,783

Changes in Balance of Unrecognized Tax Benefits, Excluding Interest and Penalties

The changes in the balances of unrecognized tax benefits, excluding interest and penalties are as follows:

		2025				2024				2023
(In thousands)
Balance, beginning of the year		$	505			$	414			$	303
Increases in prior period tax positions			10				—				24
Increases in current period tax positions			143				162				136
Reductions related to lapse of statutes of limitations			(19	)			(71	)			(49	)
Balance, end of the year		$	639			$	505			$	414

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://www.xbrl.org/2009/role/commonPracticeRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 9
-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://www.xbrl.org/2009/role/commonPracticeRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-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://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 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 12A
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482685/740-10-50-12A

Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef
-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

+ 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/2003/role/disclosureRef
-Topic 740
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 15A
-Subparagraph (a)
-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