Long-Term Debt

6 Months Ended

Jan. 31, 2025

The components of long-term debt are as follows:


	January 31, 2025		July 31, 2024
Term loan	$	496,129	$	594,361

Senior unsecured notes	500,000		500,000
Unsecured notes	25,983		27,070
Other debt	23,268		29,848
Total long-term debt	1,045,380		1,151,279
Debt issuance costs, net of amortization	(14,243)		(17,364)
Total long-term debt, net of debt issuance costs	1,031,137		1,133,915
Less: Current portion of long-term debt	(27,742)		(32,650)
Total long-term debt, net, less current portion	$	1,003,395	$	1,101,265

As discussed in Note 13 to the Company’s Consolidated Financial Statements included in the Fiscal 2024 Form 10-K, the Company is a party to a seven-year term loan (“term loan”) agreement, which consists of both a U.S. dollar-denominated term loan tranche (“USD term loan”) and a Euro-denominated term loan tranche (“Euro term loan”) and a five-year $1,000,000 asset-based credit facility (“ABL”).

As of January 31, 2025, the outstanding USD term loan balance of $180,000 was subject to a Secured Overnight Financing Rate (“SOFR”)-based rate totaling 6.562%. The total interest rate on the January 31, 2025 outstanding Euro term loan tranche balance of $316,129 was 5.475%. The Senior Unsecured Notes were issued on October 14, 2021 in an aggregate principal amount of $500,000 and bear fixed interest at a rate of 4.000%.

As of January 31, 2025 and July 31, 2024, there were no outstanding ABL borrowings. Availability under the ABL agreement is subject to a borrowing base based on a percentage of applicable eligible receivables and eligible inventory.

Based on January 31, 2025 eligible receivables and eligible inventory balances and net of amounts drawn, if any, totaled approximately $855,000.

For the three and six months ended January 31, 2025, interest expense on total long-term debt was $15,452 and $33,037, respectively. These interest expense amounts include the amortization of capitalized debt issuance costs of $1,361 and $3,527, for the three and six months ended January 31, 2025, respectively. For the three and six months ended January 31, 2024, interest expense on total long-term debt was $30,548 and $53,747, respectively, which includes amortization of capitalized debt issuance costs and debt extinguishment charges related to the November 2023 debt refinancing totaling $8,992 and $11,864, respectively.

The fair value of the Company’s term loan debt at January 31, 2025 and July 31, 2024 was $500,415 and $597,334, respectively. The fair value of the Company’s Senior Unsecured Notes at January 31, 2025 and July 31, 2024 was $456,950 and $450,450, respectively. The fair value of all other debt held by the Company approximates carrying value. The fair values of the Company’s long-term debt are primarily estimated using Level 2 inputs as defined by ASC 820, based on quoted prices in markets that are not active.

Subsequent to January 31, 2025, the Company made a payment of $25,000 against the principal balance of its USD term loan.