Income Taxes

6 Months Ended

Jun. 29, 2025

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

For the quarter and year-to-date period ended June 29, 2025, the Company’s effective tax rate was 22.0% and 19.7%, respectively, resulting in an income tax provision of $29.3 million and $50.3 million, respectively. For the quarter and year-to-date periods ended June 30, 2024, the Company’s effective tax rate was 22.8% and 21.5%, respectively, resulting in an income tax provision of $25.3 million and $42.2 million, respectively. The effective tax rate for the quarter ended June 29, 2025 included discrete tax expense of $0.6 million and the effective tax rate for the year-to-date period ended June 29, 2025 included discrete tax benefits of $4.5 million, primarily for share-based compensation. Excluding discrete tax impacts, the Company’s effective tax rate for the quarter and year-to-date period ended June 29, 2025 was 21.5%. The effective tax rate for the quarter and year-to-date period ended June 30, 2024 included discrete tax benefits of $1.6 million and $4.7 million, respectively. Excluding discrete tax benefits, the Company’s effective tax rate for the quarter and year-to-date period ended June 30, 2024 was 24.2% and 23.9%, respectively.

On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted, which includes permanent extensions of most expiring Tax Cuts and Jobs Act provisions and international tax changes. Pursuant to ASC 740, Income Taxes, the effects of changes in tax law are recognized in the period of enactment. The Company is still evaluating the potential impacts of the OBBBA; however, the Company does not anticipate it will have a material impact on the Company’s financial statements.