Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Schedule of Domestic and Foreign Components of Net Income (Loss) Before Income Tax

The domestic and foreign components of net income (loss) before income tax were as follows (in thousands):


	Year Ended December 31,
	2022			2021			2020
Domestic	$	7,583		$	(4,280	)	$	1,562
Foreign		(31	)		(95	)		(427	)
Net income (loss) before income tax	$	7,552		$	(4,375	)	$	1,135

Schedule of Provision (Benefit) for Income Tax

The provision (benefit) for income tax consists of the following (in thousands):


	Year Ended December 31,
	2022		2021		2020
Current:
Federal	$	—	$	—	$	—
State		455		—		—
Foreign		27		6		(7	)
Total		482		6		(7	)
Deferred:
Federal		316		—		—
State		369		—		—
Foreign		—		50		(83	)
Total		685		50		(83	)
Total provision (benefit) for income tax	$	1,167	$	56	$	(90	)

Schedule of Reconciliation of Statutory Federal Income Tax Rate to Income Tax Expense (Benefit)

A reconciliation of income taxes at the statutory federal income tax rate to income tax expense (benefit) included in the accompanying consolidated statements of operations is as follows (in thousands):


	December 31,
	2022			2021			2020
Income tax (benefit) at statutory rate	$	1,545		$	(919	)	$	240
Change in valuation allowance		(388	)		1,288			(165	)
Indefinite-lived asset (goodwill)		(642	)		—			—
State tax		239			(288	)		(37	)
Change in deferred		415			(27	)		8
Stock-based compensation		111			62			(11	)
Research and development credits		(271	)		(160	)		(103	)
Foreign rate differential		43			7			(40	)
Other		115			93			18
Total	$	1,167		$	56		$	(90	)

Schedule of Company's Deferred Tax Assets and Liabilities

Temporary differences that gave rise to significant portions of the Company’s deferred tax assets and liabilities as of December 31, 2022 and 2021 were as follows (in thousands):


	Year Ended December 31,
	2022			2021
Deferred tax assets:
Net operating losses	$	17,255		$	19,920
Research and development credits		2,917			2,557
Accruals and reserves		5,914			2,605
Deferred revenue and contract costs		625			140
Gross deferred tax assets		26,711			25,222
Valuation allowance		(25,343	)		(24,955	)
Net deferred tax assets		1,368			267
Deferred tax liabilities:
Fixed assets and intangibles		(2,053	)		(267	)
Total deferred tax assets (liabilities), net	$	(685	)	$	—

Schedule of Unrecognized Uncertain Tax Positions

A reconciliation of the beginning and ending amounts of unrecognized uncertain tax positions is as follows (in thousands):


Balance as of December 31, 2020	$	859
Increases for current year tax positions		87
Increases for prior year tax positions		8
Balance as of December 31, 2021		954
Increases for current year tax positions		140
Decreases for prior year tax positions		(11	)
Balance as of December 31, 2022	$	1,083