Income Taxes

3 Months Ended

Apr. 04, 2025

Income Tax Disclosure [Abstract]

Income Taxes

NOTE 12. INCOME TAXES

For the first quarter of 2025, our effective income tax rate was 22.8%, as compared to 21.6% in the corresponding period in 2024. The increase was primarily due to lower U.S. federal R&D credits, partially offset by higher stock-based compensation deductions.

Unrecognized tax benefits of $46.4 million and $45.8 million at the end of the first quarter of 2025 and at the end of 2024, if recognized, would favorably affect the effective income tax rate in future periods. At the end of the first quarter of 2025 and at the end of 2024, we accrued interest and penalties of $10.0 million and $8.8 million.