Income Taxes

9 Months Ended

Jan. 25, 2025

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The effective income tax rate for the three months ended January 25, 2025 and January 27, 2024 was 27.2% and 23.2%, respectively. The increase in the rate was primarily due to the impact of provision to return adjustments in the prior year quarter as compared to the current quarter.

The effective income tax rate for the nine months ended January 25, 2025 and January 27, 2024 was 25.7% and 23.9%, respectively. The increase in the rate is primarily due to a less favorable impact of excess tax benefits associated with stock compensation in the current year as compared to the prior year.

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.