Income Taxes

3 Months Ended

Jul. 27, 2024

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The effective income tax rate for the three months ended July 27, 2024 was 23.6% compared to 23.3% for the three months ended July 29, 2023. The change in the rate was primarily due to larger excess tax benefits on stock compensation in the prior year quarter, offset by an income tax reserve adjustment in the current year quarter.

The Organization for Economic Cooperation and Development (“OECD”) has published a framework to implement a global minimum income tax rate of 15% through its Base Erosion and Profit Shifting Pillar Two project (“BEPS Pillar Two”). This new legislation became effective in certain countries where the Company operates starting in fiscal 2025. We continue to evaluate the impact of this new legislation. At this time, we do not expect the impact of this legislation to be material to our effective tax rate.