Income Taxes (Tables)

12 Months Ended

Dec. 31, 2023

Schedule of Income before Income Tax, Domestic and Foreign

The components of earnings before income taxes consisted of the following for the years ended December 31:


(In thousands)	2023		2022		2021
United States	$	92,679	$	550,030	$	378,460
Foreign	(9,675)		(24,575)		3,584
Total earnings before income taxes	$	83,004	$	525,455	$	382,044

Schedule of Provisions of Income Taxes

The provision for income taxes in the Consolidated Statements of Income was as follows for the years ended December 31:


(In thousands)	2023		2022		2021
Current:
Federal	$	15,454	$	114,744	$	78,604
State and local	1,752		22,998		17,044
Foreign	(464)		2,016		1,936
Total current provision	16,742		139,758		97,584
Deferred:
Federal	5,824		(3,786)		2,192
State and local	824		(285)		(517)
Foreign	(4,581)		(5,206)		(4,954)
Total deferred provision (benefit)	2,067		(9,277)		(3,279)
Provision for income taxes	$	18,809	$	130,481	$	94,305

Schedule of Income Tax Reconciliation

The provision for income taxes differs from the amount computed by applying the federal statutory rate of 21 percent for 2023, 2022, and 2021 to income before income taxes for the following reasons for the years ended December 31:


(In thousands)	2023		2022		2021
Income tax at federal statutory rate	$	17,431	$	110,345	$	80,229
State income tax, net of federal income tax impact	2,035		17,944		13,056
Section 162(m) permanent addback	1,896		3,784		6,153

Federal tax credits	(1,219)		(1,638)		(1,230)
Share-based payment compensation excess tax benefit	(242)		(509)		(1,191)

Other	(1,092)		555		(2,712)
Provision for income taxes	$	18,809	$	130,481	$	94,305

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities were as follows at December 31:


(In thousands)	2023		2022
Deferred tax assets:

Stock-based compensation	$	1,840	$	2,268
Pension	1,133		1,271
Deferred compensation	10,223		15,091
Warranty	13,936		11,517
Convertible debt bond hedge	12,289		17,237
Inventory	20,811		20,758
Research and experimental costs	6,845		4,986
Other	7,043		6,630
Lease obligation asset	62,460		63,146
Net operating loss, interest, and tax credit carryforwards	13,231		12,924
Total deferred tax assets before valuation allowance	149,811		155,828
Less valuation allowance	(7,300)		(8,750)
Total deferred tax assets net of valuation allowance	142,511		147,078
Deferred tax liabilities:
Lease obligation liability	(59,212)		(60,487)
Fixed assets	(45,995)		(45,634)
Intangible assets	(66,398)		(67,640)
Total deferred tax liabilities	(171,605)		(173,761)

Net deferred tax liabilities	$	(29,094)	$	(26,683)

Schedule of Unrecognized Tax Benefits

The following table reconciles the total amounts of unrecognized tax benefits, at December 31:


(In thousands)	2023		2022		2021
Balance at beginning of period	$	23,376	$	20,462	$	8,921
Changes in tax positions of prior years	218		—		(69)
Additions based on tax positions related to the current year	1,195		5,758		12,826
Decreases due to settlements of liabilities	—		(904)		—
Closure of tax years	(394)		(1,940)		(1,216)
Balance at end of period	$	24,395	$	23,376	$	20,462