Quarterly report [Sections 13 or 15(d)]

Income Taxes

v3.26.3
Income Taxes
 3 Months Ended
Sep. 30, 2026
Notes to Financial Statements  
Income Taxes

Note 11. Income Taxes:

The Company’s effective income tax rate for the first quarter of fiscal 2027 and 2026 was 18.4% and 20.4%, respectively, of consolidated earnings before income taxes, inclusive of discrete items. The change in the Company’s tax rate for the quarter ended September 30, 2026 compared to September 30, 2025 was driven by a mix of net income and timing of discrete items. The Company recognized total net benefits related to discrete tax items of $1.8 million during the quarter ended September 30, 2026, compared to $3.6 million of net benefits during the quarter ended September 30, 2025. Share-based compensation excess tax benefit contributed $1.9 million in the quarter ended September 30, 2026, compared to $0.5 million in the quarter ended September 30, 2025.