Income Taxes (Tables)
|
12 Months Ended |
Dec. 31, 2025 |
|---|
| Income Tax Disclosure [Abstract] |
|
| Summary of Income Tax Expense And Effective Tax Rates |
Income tax (benefit) expense for the years ended December 31, 2025 and 2024 consisted of the following:
|
|
|
|
|
|
|
|
|
|
|
|
|
2025 |
|
|
2024 |
|
Current income (benefit) tax expense |
|
|
|
|
|
|
Federal |
|
$ |
|
16,355 |
|
|
$ |
|
(9,215 |
) |
State |
|
|
|
683 |
|
|
|
|
11,811 |
|
Total current income tax expense |
|
|
|
17,038 |
|
|
|
|
2,596 |
|
|
|
|
|
|
|
|
|
|
Deferred income tax recoveries |
|
|
|
|
|
|
|
|
Federal |
|
|
|
— |
|
|
|
|
(16,053 |
) |
State |
|
|
|
— |
|
|
|
|
(4,221 |
) |
Total deferred income tax benefit |
|
|
|
— |
|
|
|
|
(20,274 |
) |
|
|
|
|
|
|
|
|
|
Income tax (benefit) expense |
|
$ |
|
17,038 |
|
|
$ |
|
(17,678 |
) |
|
| Summary of Effective Income Tax Rate Reconciliation |
Income tax expense differed from the amount computed by applying the federal statutory tax rate of 21.0% for the years ended December 31, 2025 and 2024 due to the following:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2025 |
|
2024 |
|
|
|
|
|
|
|
|
|
|
|
Pretax loss at federal statutory rate |
$ |
|
(4,865 |
) |
|
21.0% |
|
$ |
|
(5,316 |
) |
|
21.0% |
State income taxes, net of federal expense |
|
|
(362 |
) |
|
-1.6% |
|
|
|
(244 |
) |
|
1.0% |
Foreign income taxes |
|
|
(428 |
) |
|
-1.8% |
|
|
|
(848 |
) |
|
3.3% |
Non-deductible items |
|
|
328 |
|
|
1.4% |
|
|
|
1,065 |
|
|
-4.2% |
True-up of income taxes payable |
|
|
11,232 |
|
|
48.5% |
|
|
|
(6,573 |
) |
|
26.0% |
Uncertain tax positions |
|
|
4,821 |
|
|
20.8% |
|
|
|
5,363 |
|
|
-21.2% |
Other items |
|
|
(5,226 |
) |
|
-22.6% |
|
|
|
(20 |
) |
|
0.1% |
Change in valuation allowance |
|
|
11,538 |
|
|
49.8% |
|
|
|
(11,105 |
) |
|
43.9% |
Income tax (benefit) expense |
$ |
|
17,038 |
|
|
73.6% |
|
$ |
|
(17,678 |
) |
|
69.8% |
|
| Summary of Deferred Tax Assets and Liabilities |
The tax effects of temporary differences that give rise to significant portions of the deferred income tax assets and liabilities as of December 31, 2025 and 2024 are presented below:
|
|
|
|
|
|
|
|
|
|
|
|
|
2025 |
|
|
2024 |
|
Deferred income tax assets: |
|
|
|
|
|
|
|
Net operating loss carryforwards |
|
$ |
|
39,401 |
|
|
$ |
|
52,183 |
|
Interest expense carryforwards |
|
|
|
44,875 |
|
|
|
|
35,596 |
|
Stock based compensation |
|
|
|
14,173 |
|
|
|
|
12,486 |
|
Intangible assets |
|
|
|
5,019 |
|
|
|
|
6,650 |
|
Property, plant and equipment |
|
|
|
3,126 |
|
|
|
|
6,696 |
|
Inventories |
|
|
|
41 |
|
|
|
|
166 |
|
Other items |
|
|
|
9,047 |
|
|
|
|
1,103 |
|
|
|
|
|
115,682 |
|
|
|
|
114,880 |
|
Valuation allowance |
|
|
|
(95,973 |
) |
|
|
|
(94,151 |
) |
Deferred income tax assets |
|
$ |
|
19,709 |
|
|
$ |
|
20,729 |
|
|
|
|
|
|
|
|
|
|
Deferred income tax liabilities: |
|
|
|
|
|
|
|
|
Intangibles resulting from acquisitions |
|
|
|
(19,709 |
) |
|
|
|
(20,729 |
) |
Deferred income tax liabilities |
|
|
|
(19,709 |
) |
|
|
|
(20,729 |
) |
|
|
|
|
|
|
|
|
|
Net deferred income tax liabilities |
|
$ |
|
— |
|
|
$ |
|
— |
|
|
| Schedule of Unrecognized tax benefits |
Based on our legal interpretation, we have established a reserve for uncertain tax positions related to the differences that would arise under IRC Section 280E.
|
|
|
|
|
|
|
|
|
|
|
|
|
2025 |
|
|
2024 |
|
Unrecognized tax benefits: |
|
|
|
|
|
|
|
Beginning balance |
|
$ |
|
81,371 |
|
|
$ |
|
— |
|
Additions for tax positions related to current year |
|
|
|
17,392 |
|
|
|
|
81,371 |
|
Additions for tax positions related to prior years |
|
|
|
8,137 |
|
|
|
|
— |
|
Balance as of December 31, 2025 |
|
$ |
|
106,900 |
|
|
$ |
|
81,371 |
|
|