Derivatives and Hedging

6 Months Ended

Jan. 31, 2025

Derivative Instruments and Hedging Activities Disclosure [Abstract]

As of January 31, 2025 and July 31, 2024 there were no derivative instruments designated as hedges, except for the net investment hedge discussed below.

Net Investment Hedge

The foreign currency transaction gains and losses on the portion of the Euro-denominated term loan designated and effective as a hedge of the Company’s net investment in its Euro-denominated functional currency subsidiaries are included as a component of the foreign currency translation adjustment. Gains, net of tax, included in the foreign currency translation adjustments were $1,487 for the three months ended January 31, 2025 and $238 for the six months ended January 31, 2025. Gains (losses), net of tax, included in the foreign currency translation adjustments were $(6,237) for the three months ended January 31, 2024 and $7,172 for the six months ended January 31, 2024.

There were no amounts reclassified out of accumulated other comprehensive income (loss) pertaining to the net investment hedge during the three and six-month periods ended January 31, 2025 and January 31, 2024.

Derivatives Not Designated as Hedging Instruments

The Company has certain other derivative instruments which have not been designated as hedges. These other derivative instruments had a notional amount totaling approximately $27,688 and a fair value liability of $1,104 as of January 31, 2025. These other derivative instruments had a notional amount totaling approximately $22,333 and a fair value liability of $1,137 as of July 31, 2024. For these derivative instruments, changes in fair value are recognized in earnings.


	Three Months Ended January 31,
	2025				2024
			Interest					Interest
	Sales		Expense			Sales		Expense



Gain (Loss) on Derivatives Not Designated as Hedging Instruments
Gain (loss) recognized in income, net of tax
Foreign currency forward contracts	$	43	$	—		$	(236)	$	—

Interest rate swap agreements	—		30			—		(205)
Total gain (loss)	$	43	$	30		$	(236)	$	(205)


	Six Months Ended January 31,
	2025				2024
			Interest					Interest
	Sales		Expense			Sales		Expense



Gain (Loss) on Derivatives Not Designated as Hedging Instruments
Gain (loss) recognized in income, net of tax
Foreign currency forward contracts	$	(414)	$	—		$	(75)	$	—

Interest rate swap agreements	—		3			—		(139)
Total gain (loss)	$	(414)	$	3		$	(75)	$	(139)