Income Taxes (Tables)

12 Months Ended

Dec. 31, 2024

Income Taxes [Abstract]

Loss Before Income Tax, Domestic and Foreign

For financial statement purposes, earnings before income taxes by source was comprised of the following:

	Year Ended December 31,
(in thousands)	2024		2023		2022
Domestic	$	165,020	$	38,375	$	43,977
Foreign	12,521		14,492		17,494
Earnings before income taxes	$	177,541	$	52,867	$	61,471

Reconciliation of Income Tax Expense

A reconciliation of the federal statutory rate of 21% to the effective rate follows:

	Year Ended December 31,
	2024		2023		2022
Tax at statutory rate	21.0	%	21.0	%	21.0	%
Non-deductible compensation	3.2	%	57.1	%	53.4	%
State income taxes	5.7	%	16.5	%	13.4	%
Effect of foreign operations	1.6	%	19.5	%	6.6	%
Effect of current year credits	(2.5)	%	(9.9)	%	(13.2)	%
Change in unrecognized tax benefits	(0.1)	%	(6.9)	%	0.1	%
Other permanent differences	0.9	%	1.7	%	0.9	%
Prior year return to provision adjustments	0.2	%	0.3	%	1.7	%
Valuation allowance	(0.3)	%	11.4	%	(3.0)	%
Other, net	0.8	%	(0.9)	%	(1.0)	%
Effective income tax rate	30.5	%	109.8	%	79.9	%

Components of Income Tax Expense

The components of income tax expense (benefit) are as follows:

	Year Ended December 31,
(in thousands)	2024		2023		2022
Current expense (benefit)
Federal	$	79,751	$	58,480	$	62,878
State	2,451		9,644		21,473
Foreign	1,537		4,385		4,570
Total current	83,739		72,509		88,921
Deferred (benefit) expense
Federal	(39,712)		(28,084)		(25,923)
State	11,462		1,316		(13,321)
Foreign	(1,426)		12,305		(563)
Total deferred	(29,676)		(14,463)		(39,807)
Total income tax expense	$	54,063	$	58,046	$	49,114

Deferred Tax Assets

Deferred tax assets (liabilities) consist of the following:

	December 31,
(in thousands)	2024		2023
Deferred tax assets
Net operating loss carryforwards	$	12,814	$	20,852
Accrued liabilities	63,258		64,410
Intangible assets	133,235		143,386
Property assets	9,641		—
Lease obligations	72,790		79,645
Other assets	3,892		4,082
Foreign tax credit carryforwards	2,348		856
Total deferred tax assets	297,978		313,231
Valuation allowance	(8,599)		(9,340)
Deferred tax assets, net	289,379		303,891
Deferred tax liabilities
Rental merchandise	(176,375)		(212,137)
Property assets	—		(2,089)
Lease assets	(70,786)		(77,825)
Other liabilities	(1,874)		(650)
Total deferred tax liabilities	(249,035)		(292,701)
Net deferred taxes	$	40,344	$	11,190

Schedule of Unrecognized Tax Benefits Roll Forward

A reconciliation of the beginning and ending amount of unrecognized tax benefits follows:

	Year Ended December 31,
(in thousands)	2024		2023		2022
Beginning unrecognized tax benefit balance	$	1,221	$	5,100	$	6,536
Additions based on tax positions related to current year	—		97		14
Reductions based on tax positions related to current year	—		—		(488)
Additions for tax positions of prior years	—		759		21
Reductions for tax positions of prior years	(653)		(4,735)		(983)
Settlements	(200)		—		—
Ending unrecognized tax benefit balance	$	368	$	1,221	$	5,100