Income Taxes

12 Months Ended

Dec. 31, 2025

Income Tax Disclosure [Abstract]

Income Taxes

9. Income Taxes

The provision for income taxes consists of the following:

	Year Ended December 31,
	2025			2024			2023
Current:
Federal	$	22,242		$	48,337		$	49,028
State and local		41,240			9,695			4,047
Foreign		34,582			32,211			27,385
Total current provision		98,064			90,243			80,460
Deferred:
Federal		18,009			(2,884	)		(2,823	)
State and local		4,575			(573	)		(754	)
Foreign		(565	)		(421	)		(2,238	)
Total deferred provision		22,019			(3,878	)		(5,815	)
Provision for income taxes	$	120,083		$	86,365		$	74,645

Pre-tax income from U.S. operations was $235.8 million, $235.8 million and $228.8 million for the years ended December 31, 2025, 2024 and 2023, respectively. Pre-tax income from foreign operations was $131.2 million, $124.7 million and $103.9 million for the years ended December 31, 2025, 2024 and 2023, respectively.

A reconciliation of the U.S. federal statutory income tax rate to the Company’s effective tax rate is as follows:

	Year Ended December 31,
	2025							2024							2023
	Amount			Percent				Amount			Percent				Amount			Percent
	($ in thousands)
U.S. federal statutory tax rate	$	77,069			21.0		%	$	75,715			21.0		%	$	69,867			21.0		%
State and local taxes, net of federal benefit*		9,505			2.6				6,911			1.9				2,737			0.8
Foreign Tax Effects
United Kingdom		4,273			1.2				4,298			1.2				1,935			0.5
Other foreign jurisdictions		1,654			0.4				1,346			0.4				1,386			0.4
Effect of cross-border tax laws		665			0.2				—			—				—			—
Tax Credits		(4,369	)		(1.2	)			(4,941	)		(1.4	)			(3,652	)		(1.0	)
Nontaxable or nondeductible items		4,400			1.2				3,036			0.9				2,372			0.7
Changes in unrecognized tax benefits**		26,886			7.3				—			—				—			—
Effective tax rate	$	120,083			32.7		%	$	86,365			24.0		%	$	74,645			22.4		%
*State taxes in New York State and New York City for the years ended December 31, 2025, 2024 and 2023 made up the majority (greater than 50%) of the tax effect in this category
**The impact in the change in unrecognized tax benefits for the years ended December 31, 2024 and 2023 is immaterial

The following is a summary of the Company’s net deferred tax assets:

		As of December 31,
	2025				2024
	(In thousands)
Deferred tax assets:
Stock compensation expense	$		4,962		$	4,880
Operating lease liabilities			15,267			15,753
Deferred compensation			2,907			2,700
Capitalized software development			—			3,130
Other			110			1,096
Total deferred tax assets			23,244			27,559
Valuation allowance			—			—
Net deferred tax assets			23,244			27,559
Deferred tax liabilities:
Capitalized software development			(16,397	)		—
Depreciation			(5,998	)		(6,990	)
Goodwill and intangible assets			(6,667	)		(5,307	)
Operating lease right-of-use assets			(12,098	)		(12,515	)
Other deferred tax liabilities			(901	)		—
Deferred tax asset/(liability), net	$		(18,816	)	$	2,747

The following is a summary of the Company’s cash paid for income taxes, net of refunds:

	Year Ended December 31,
		2025		2024			2023
	(in thousands)
United Sates Federal	$		20,262	$		48,902	$		49,300
United States State and Local
New York			3,802			7,192			6,921
New York City			3,406			8,420			6,478
Other			3,141			433			494
Foreign
United Kingdom			23,467			23,594			20,310
Netherlands			6,813			7,524			10,828
Other			1,943			867			483
Total cash paid for income taxes, net of refunds	$		62,834	$	$	96,932	$	$	94,814

The Company or one of its subsidiaries files U.S. federal, state and foreign income tax returns. As of December 31, 2025, the Company was under a New York State income tax examination for tax years 2015 through 2020 and a New York City income tax examination for the tax years 2016 through 2018. Generally, other than New York City and State, the Company is no longer subject to tax examinations by tax authorities for years prior to 2021. Refer to Note 20, Subsequent Events.

A reconciliation of the Company’s unrecognized tax benefits is as follows:

	Year Ended December 31,
		2025		2024			2023
	(in thousands)
Balance at beginning of year	$		—	$	3,130		$	9,835
Increase based on tax positions related to the current period			2,454		—			—
Increase based on tax positions related to prior periods			19,909		—			—
(Decrease) related to settlements with taxing authorities			—		(3,130	)		(6,705	)
Balance at end of year	$		22,363	$	—		$	3,130

As of December 31, 2025, the Company had $22.4 unrecognized tax benefits recorded. During the years ended December 31, 2025, 2024 and 2023, the Company recognized gross expenses of $11.7 million, $0.3 million and $1.6 million, respectively, in penalties and interest. The Company had $11.7 million accrued balances for the payment of interest and penalties as of December 31, 2025, and no accrued balances for the payment of interest and penalties as of December 31, 2024.