Annual report [Section 13 and 15(d), not S-K Item 405]

Income Taxes (Tables)

v3.25.3
Income Taxes (Tables)
12 Months Ended
Sep. 30, 2025
Income Tax Disclosure [Abstract]  
Schedule of Reconciliation of Income Tax Expense
Income tax expense for the years ended September 30, 2025 and 2024 is as follows (in $000’s):
Year Ended
September 30,
2025
Year Ended
September 30,
2024
Current expense:
Federal $ 2,411  $ 1,696 
State 361  528 
2,772  2,224 
Deferred expense (benefit):
Federal 2,443  (5,311)
State 445  (1,571)
2,888  (6,882)
Total income tax (benefit) expense
$ 5,660  $ (4,658)
Schedule of Reconciliation between Effective and Statutory Income Tax Rates
A reconciliation of the differences between the effective and statutory income tax rates for years ended September 30, 2025 and 2024:
Year Ended
September 30,
2025
Year Ended
September 30,
2024
Federal statutory rates 21.0 % (21.0 %)
State income taxes, net of federal benefit 5.6 % (6.2 %)
Goodwill impairment
% 8.8 %
Non-taxable income
(2.6 %) %
Permanent differences 0.2 % 0.1  %
Investments
—  % 4.6 %
Stock compensation 0.5 % %
Change in tax rates
(0.6 %) 3.6  %
Tax credits
(0.3 %) (0.2) %
Change in valuation allowance 0.4  % (4.4) %
Other (4.3) % (0.4 %)
Effective rate 19.9 % (15.2 %)
Schedule of Deferred Income Tax Assets and Liabilities
At September 30, 2025 and 2024, deferred income tax assets and liabilities were comprised of (in $000’s):
September 30,
2025
September 30,
2024
Deferred income tax assets (liabilities):
Allowance for bad debts $ 149  $ 192 
Accrued expenses/reserves
24 
Inventory 2,201  2,594 
Accrued compensation 200  197 
Research and development
496  564 
Net operating loss 2,203  2,320 
Tax credits 581  508 
Stock compensation 144  247 
Intangibles (10,394) (4,972)
Property & equipment (10,997) (12,544)
Right of use assets (14,113) (15,201)
Lease liabilities 15,381  17,192 
Interest carryforwards
7,321  4,827 
Subtotal income tax assets (liabilities)
(6,824) (4,052)
Less: Valuation allowance (2,332) (2,215)
Total deferred income tax liability
$ (9,156) $ (6,267)