INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2025

U.S. and foreign earnings (loss) from continuing operations before income taxes and noncontrolling interests are as follows:


	Year Ended December 31,
	2025		2024		2023
	(In thousands)
U.S.	$	35,902	$	8,980	$	(38,717)
Foreign	26,625		11,097		10,509
Total	$	62,527	$	20,077	$	(28,208)

Schedule of Components of Income Tax Expense (Benefit)

The components of the income tax (benefit) provision are as follows:


	Year Ended December 31,
	2025		2024		2023
	(In thousands)
Current income tax provision:
Federal	$	—	$	92	$	1,373
State	727		2,675		3,198
Foreign	4,802		4,413		7,277
Current income tax provision	5,529		7,180		11,848

Deferred income tax provision (benefit):
Federal	6,622		6,765		(8,232)
State	1,052		727		(1,499)
Foreign	5,492		(31,443)		(278)
Deferred income tax benefit	13,166		(23,951)		(10,009)
Income tax (benefit) provision	$	18,695	$	(16,771)	$	1,839

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of the income tax (benefit) provision to the amounts computed by applying the statutory federal income tax rate to earnings (loss) from continuing operations before income taxes is shown as follows:

Updated Effective Tax Rate Calculation


	Year Ended December 31, 2025
	Amount		Percent
	(In thousands)
US Federal Statutory Tax Rate	$	13,131	21.00%
State and Local Income Taxes	1,779		2.85%
Foreign tax effects:
Germany
Statutory tax rate difference between Germany and United States	1,865		2.98%
Enactment of New Tax Laws	2,433		3.89%
Other Adjustments	927		1.48%
France
Valuation Allowances	(5,397)		(8.63)%
Netherlands
Valuation Allowances	2,655		4.25%
Canada
Valuation Allowances	(1,000)		(1.60)%
Other Foreign Jurisdictions	191		0.31%
Effect of Cross Border Tax Laws	1,215		1.94%
Research and Development Credits	(5,046)		(8.07)%
Nontaxable or Nondeductible Items	2,241		3.58%
Changes in Unrecognized Tax Benefits	3,497		5.59%
Other Adjustments	204		0.33%
Total Tax Expense (Benefit)	$	18,695	29.90%


	Years Ended December 31,
	2024		2023
	(In thousands)
Income tax provision (benefit) at the federal statutory rate of 21%	$	4,216	$	(5,924)
State income taxes, net of effect of federal tax benefit	2,418		1,510
Change in judgement on beginning of the year valuation allowance	(34,976)		399
Research credit	(4,317)		(4,912)
Stock-based compensation	4,250		4,546
Unbenefited losses	3,504		3,352
Foreign income taxed at a different statutory tax rate	3,329		1,216
Non-deductible executive compensation	2,771		3,514
Net adjustment related to the reconciliation of income tax provision accruals to tax returns	802		(2,430)
Non-deductible transaction costs	501		73
Deferred tax adjustment for enacted changes in tax law and rates	235		99
Other, net	496		396
Income tax (benefit) provision	$	(16,771)	$	1,839

Schedule of Deferred Tax Assets and Liabilities

The tax effects of cumulative temporary differences that give rise to significant deferred tax assets and deferred tax liabilities are presented below. The valuation allowance relates to deferred tax assets for which it is more likely than not that the tax benefit will not be realized.


	December 31,
	2025		2024
	(In thousands)
Deferred tax assets:
Net operating loss carryforwards	$	153,948	$	145,160
Tax credit carryforwards	32,862		29,685
Capitalized research & development expenditures	2,943		29,230
Capitalized software, leasehold improvements and equipment, net	2,920		22,961
Accrued expenses	10,335		13,697
Long-term lease liabilities	8,621		11,816

Other	7,262		17,829
Total deferred tax assets	218,891		270,378
Less valuation allowance	(31,189)		(42,493)
Total deferred tax assets, net of valuation allowance	187,702		227,885

Deferred tax liabilities:
Intangible assets, net	(44,743)		(46,192)
Capitalized software, leasehold improvements and equipment, net	(10,489)		—
Right-of-use assets	(5,660)		(7,554)
Capitalized costs to obtain a contract with a customer	(2,079)		(6,567)

Total deferred tax liabilities	(62,971)		(60,313)
Net deferred tax assets	$	124,731	$	167,572

Schedule of Reconciliation of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits, excluding interest, is as follows:


	December 31,
	2025		2024		2023
	(In thousands)
Balance at January 1	$	9,494	$	8,014	$	6,181
Additions based on tax positions related to the current year	1,960		1,509		1,564
Additions for tax positions of prior years	3,092		96		545
Reductions for tax positions of prior years	(170)		(92)		(88)
Expirations of statutes	(490)		(33)		—
Settlements	—		—		(188)
Balance at December 31	$	13,886	$	9,494	$	8,014