Income Taxes (Tables)

12 Months Ended

Dec. 28, 2024

Earnings before taxes is summarized as follows (in thousands):


	2024		2023		2022
Domestic	$	415,156	$	346,815	$	383,813
Foreign	162,164		172,563		180,602
Total	$	577,320	$	519,378	$	564,415

Schedule of Provision of Taxes

The provision for income taxes is summarized as follows (in thousands):


	2024		2023		2022
Federal	$	88,770	$	67,023	$	62,416
State and local	16,510		15,934		23,892
Foreign	43,607		35,539		41,538
Total	$	148,887	$	118,496	$	127,846

Current	$	113,010	$	120,901	$	134,488
Deferred	35,877		(2,405)		(6,642)
Total	$	148,887	$	118,496	$	127,846

Schedule of Effective Income Tax Reconciliation

econciliation of the differences between income taxes computed at the federal statutory rate to the effective rate were as follows:


	2024		2023		2022
U.S. federal statutory tax rate	21.0	%	21.0	%	21.0	%

State taxes, net of federal benefit	3.1		3.1		3.3
Permanent differences	0.6		0.6		0.9
Foreign income tax rate at rates other than U.S. statutory	1.4		0.2		0.2
Deferred tax changes	—		—		—
Change in valuation allowances	0.2		—		—
Tax on unremitted earnings	0.7		0.4		0.3
Federal Refund	—		—		—
Internal restructuring	—		—		(2.3)
Other	(1.2)		(2.5)		(0.7)
Consolidated effective tax	25.8	%	22.8	%	22.7	%

Schedule of Deferred Assets and Liabilities

At December 28, 2024 and December 30, 2023, the company had recorded the following deferred tax assets and liabilities (in thousands):


	2024		2023
Deferred tax assets:
Compensation related	$	20,550	$	29,135
Pension and post-retirement benefits	489		1,435
Inventory reserves	29,392		27,311
Accrued liabilities and reserves	23,185		22,017
Warranty reserves	21,293		20,956
Operating lease liability	22,423		22,096
Basis difference on affiliates	7,443		12,099
Capitalized R&D costs	45,855		39,585
Convertible debt	6,502		15,860
Net operating loss carryforwards	11,957		12,989
Other	26,180		22,871
Gross deferred tax assets	$	215,269	$	226,354
Valuation allowance	(14,054)		(15,749)
Deferred tax assets	$	201,215	$	210,605

Deferred tax liabilities:
Intangible assets	$	(318,699)	$	(310,847)
Depreciable assets	(43,746)		(40,036)

Interest rate swaps	(7,587)		(10,927)
Operating lease right-of-use assets	(21,754)		(21,139)
Pension and post-retirement benefits	(22,886)		(9,719)
Other	(32,324)		(26,135)

Deferred tax liabilities	$	(446,996)	$	(418,803)

Net deferred tax assets (liabilities)	$	(245,781)	$	(208,198)

Long-term deferred asset	6,281		7,945
Long-term deferred liability	(252,062)		(216,143)
Net deferred tax assets (liabilities)	$	(245,781)	$	(208,198)

Schedule of Unrecognized Tax Benefits

The following table summarizes the activity related to the unrecognized tax benefits for the fiscal years ended December 31, 2022, December 30, 2023 and December 28, 2024 (in thousands):


Balance at December 31, 2022	$	33,648

Increases to current year tax positions	2,126



Lapse of statute of limitations	(1,852)

Balance at December 30, 2023	$	33,922

Increases to current year tax positions	3,689


Settlements	(639)
Lapse of statute of limitations	(7,421)

Balance as of December 28, 2024	$	29,551