INCOME TAXES (Tables)

12 Months Ended

Mar. 31, 2024

Income before income taxes was comprised of the following (in thousands):


	Year Ended March 31,
	2024		2023		2022
U.S. Federal	$	127,647	$	118,181	$	87,607
Foreign	12,833		7,730		3,858
Income before income taxes	$	140,480	$	125,911	$	91,465

Schedule of Income Tax Expense

Income tax expense consists of the following (in thousands):


For the year ended:	Current		Deferred		Total
March 31, 2024
U.S. Federal	$	28,832	$	(2,560)	$	26,272
State and local	8,057		(10)		8,047
Foreign	3,444		178		3,622
Provision for income taxes	$	40,333	$	(2,392)	$	37,941
March 31, 2023
U.S. Federal	$	27,920	$	(3,549)	$	24,371
State and local	6,135		(2,471)		3,664
Foreign	1,482		(180)		1,302
Provision for income taxes	$	35,537	$	(6,200)	$	29,337
March 31, 2022
U.S. Federal	$	20,139	$	(1,578)	$	18,561
State and local	5,271		761		6,032
Foreign	638		(1,085)		(447)
Provision for income taxes	$	26,048	$	(1,902)	$	24,146

Schedule of Income Tax Expense Differed from Amounts Computed by Applying U.S. Federal Statutory Income Tax Rate to Income Before Income Taxes

Income tax expense differed from the amounts computed by applying the U.S. federal statutory income tax rate of 21.0% to income before income taxes as a result of the following (in thousands):


	Year Ended March 31,
	2024		2023		2022
Computed tax expense at statutory rate	$	29,501	$	26,441	$	19,206
Increase (reduction) in income taxes resulting from:
State and local income taxes, net of federal benefits	6,358		2,895		4,765
Tax indemnification asset release	1,789		—		—
Nondeductible executive compensation	1,196		1,555		992
Repatriation tax, net of tax credit	491		904		170
Uncertain tax positions	278		(224)		759
Other permanent differences	215		557		(143)
Global intangible low-taxed income ("GILTI") inclusion	207		1,123		580
IRC section 250 deductions	(1,050)		(1,626)		(1,102)
Vesting of stock-based compensation	(417)		(408)		(1,916)
Foreign tax credits	(207)		(604)		(450)


Valuation allowance	(132)		(96)		379

Effect of rates different than statutory	(120)		(114)		91
Other, net	(168)		(1,066)		815
Provision for income taxes	$	37,941	$	29,337	$	24,146

Schedule of Tax Effects of Temporary Differences That Give Rise to Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at March 31, 2024 and 2023 are presented below (in thousands):


	March 31,
	2024		2023
Deferred tax assets:
Operating lease liabilities	$	11,852	$	15,684
Accrued compensation	6,777		6,636

Inventory reserves	3,877		3,422
Capitalized R&D	1,446		968
Transaction Costs	1,141		828
Accrued expenses	773		1,580
Pension and other employee benefits	384		452
Foreign tax credit carry-forward	292		284
Net operating loss carryforwards	—		144
Other, net	641		747
Deferred tax assets	27,183		30,745
Valuation allowance	(216)		(428)
Deferred tax assets, net of valuation allowance	26,967		30,317
Deferred tax liabilities:
Goodwill and intangible assets	(64,534)		(66,432)
Operating lease right-of-use assets	(10,609)		(14,337)
Property, plant and equipment	(7,725)		(7,299)
Repatriation reserve	(1,911)		(1,784)
Other, net	(1,796)		(2,148)
Deferred tax liabilities	(86,575)		(92,000)
Net deferred tax liabilities	$	(59,608)	$	(61,683)

Schedule of Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits (excluding interest and penalties) is as follows (in thousands):


	March 31,
	2024		2023
Balance at beginning of year	$	11,784	$	9,934
Increases related to prior year tax positions	173		—
Decreases related to prior year tax positions	(31)		—
Decreases related to lapses of statute of limitations	(1,049)		(690)
Increases related to current year tax positions	—		2,540

Balance at end of year	$	10,877	$	11,784