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

INCOME TAXES (Tables)

INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2024

SCHEDULE OF INCOME (LOSS) BEFORE INCOME TAX (BENEFIT) EXPENSE

The components of (loss) income before income tax expense by jurisdiction for continuing operations for the years ended December 31, consisted of the following (in thousands):

	2024			2023
United States		(15,119	)		622
Canada		(75	)		521
United Kingdom		60			(208	)
Total (loss) income before tax expense	$	(15,134	)	$	935

SCHEDULE OF COMPONENTS OF INCOME TAX (BENEFIT) EXPENSE

The components of current and deferred federal and state income tax expense (benefit) for continuing operations for the years ended December 31, consisted of the following (in thousands):

	2024			2023
Federal income tax (benefit) expense - current		(13	)		76
Federal income tax expense (benefit) - deferred		3,897			(28	)
State income tax expense - current		—			7
State income tax expense (benefit) - deferred		551			(38	)
Total income tax expense	$	4,435		$	17

SCHEDULE OF EFFECTIVE INCOME TAX RATE RECONCILIATION

An overall reconciliation between the expected tax expense using the federal statutory rate of 21% for each of the years ended 2024 and 2023 and the expense for income taxes from continuing operations as reported in the accompanying Consolidated Statement of Operations is provided below (in thousands).

	2024			2023
Federal tax (benefit) expense at statutory rate	$	(3,178	)	$	196
State tax (benefit) expense, net of federal benefit		(582	)		50
Difference in foreign rate		(2	)		20
Permanent items		91			116
Change in deferred tax rates		23			51
Reserve for uncertain tax positions		30			81
Tax credits		(148	)		(318	)
Stock-based compensation		66			100
Provision-to-return adjustments		(36	)		155
Other		(23	)		—
Increase (decrease) in valuation allowance		8,194			(434	)
Income tax expense	$	4,435		$	17

SCHEDULE OF DEFERRED TAX ASSETS AND LIABILITIES

	2024			2023
Deferred tax assets:
Net operating losses	$	13,502		$	9,876
Environmental and closure reserves		2,306			2,332
Lease liability		422			525
Capital loss carryforward		753			780
Accrued expenses		1,189			1,186
R&D cost capitalization		1,115			905
Tax credits		318			200
Deferred tax liabilities:
Depreciation and amortization		(2,985	)		(2,995	)
Indefinite lived intangible assets		(1,906	)		(1,823	)
Right-of-use lease asset		(404	)		(510	)
Prepaid expenses		(27	)		(46	)
Deferred tax assets, gross		14,283			10,430
Valuation allowance		(14,283	)		(6,131	)
Net deferred income tax asset	$	—		$	4,299

SCHEDULE OF RECOGNIZED TAX EXPENSES

The Company accounts for uncertainties in income tax pursuant to ASC 740. A reconciliation of the beginning and ending amount of our unrecognized tax expense is summarized as follows (in thousands):

SCHEDULE OF RECOGNIZED TAX EXPENSES

	2024		2023
Balances at beginning of year	$	81	$	—
Addition related to R&D tax credit		30		81
Balances at end of the year	$	111	$	81