Income Taxes

6 Months Ended

Jun. 30, 2024

Income Taxes

Income Taxes

8. Income Taxes

The Company's effective tax rate for six months ended June 30, 2024 is based on its estimated full year effective tax rate, adjusted for discrete items. The effective tax rate for the three and six months ended June 30, 2024 was 12% and 7.5%, respectively. The effective tax rate for the three and six months ended June 30, 2024 differ from the U.S. federal statutory rate of 21%, primarily due to the income tax benefit for excess percentage depletion. The effective tax rate for six months ended June 30, 2024 also includes the impact of discrete tax benefits related to equity compensation.

For the three and six months ended June 30, 2023, the Company's effective tax rate was 14.3% and 15.4%, respectively. The effective tax rate for the three and six months ended June 30, 2023 differs from the U.S. federal statutory rate of 21%, primarily due to the income tax benefit for excess percentage depletion and discrete tax benefits related to equity compensation.