Income Taxes

3 Months Ended

Mar. 31, 2026

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The Company’s effective tax rate (“ETR”) was 410.8% for the three months ended March 31, 2026 and 23.0% for the three months ended March 31, 2025. The Company's ETR differs from the U.S. Federal statutory rate of 21% primarily due to permanent differences, including state taxes, non-deductible executive compensation, non-U.S. taxing jurisdictions, tax credits, minimum taxes, changes in valuation allowance due to expiring net operating losses, and the discrete impact of interest accrual on uncertain tax positions.

As of March 31, 2026 and December 31, 2025, the amount of unrecognized tax benefits was $4.4 million and $18.8 million, respectively, excluding interest and penalties, that if recognized, would impact the effective tax rate. As of March 31, 2026 and December 31, 2025, the Company had $1.4 million and $13.6 million, respectively, recorded for interest on the Consolidated Balance Sheets. The Company engages in continuous discussions and negotiations with tax authorities regarding tax matters in various jurisdictions. During the three months ended March 31, 2026, the Company received notices of tax due and/or notices of intent to levy for tax years 2012 through 2015. The Company sent a response to the IRS requesting a Collection Due Process or Equivalent Hearing in order to review the amounts assessed and request a payment plan. Due to the receipt of these notices, $29.1 million that was previously recognized as an uncertain tax position liability has been reclassified to income taxes payable, consisting of $10.9 million reflected in Accrued liabilities and $18.2 million reflected in Other liabilities as of March 31, 2026. The Company has not received a response from the IRS and has estimated a 24 month payment plan with payments commencing in July 2026. See Note 12, Contingent Liabilities.