Income Taxes (Tables)

12 Months Ended

Dec. 31, 2025

Income Tax Disclosure [Abstract]

Components of Income from Operations Before Income Taxes

The following table presents the components of our income from operations before income taxes (in thousands):


		2025				2024				2023
United States earnings		$	190,867			$	256,210			$	179,522
Foreign earnings			191,644				111,441				84,531
		$	382,511			$	367,651			$	264,053

Schedule of Income Tax Expense (Benefit) Attributable to Income from Continuing Operations

The income tax expense (benefit) attributable to income from operations for the years ended December 31, 2025, December 31, 2024, and December 31, 2023 consists of the following (in thousands):


		2025				2024				2023
Current
Federal		$	(5,845	)		$	37,713			$	37,699
State			10,026				13,441				13,340
Foreign			25,154				19,731				14,013
Total current income tax expense			29,335				70,885				65,052
Deferred
Federal			36,923				1,397				(5,974	)
State			6,297				3,941				(590	)
Foreign			1,092				763				(2,350	)
Total deferred tax expense (benefit)			44,312				6,101				(8,914	)
Total income tax expense
Federal			31,078				39,110				31,725
State			16,323				17,382				12,750
Foreign			26,246				20,494				11,663
Total income tax expense		$	73,647			$	76,986			$	56,138

Computation of Income Tax Expense (Benefit)

Income tax expense (benefit) was different from the amount computed by applying the United States federal statutory rate to pre-tax income from continuing operations, presented after prospectively adopting ASU 2023-09, as a result of the following (in thousands):


		2025
Income before income tax expense		$	382,511
Tax at federal statutory tax rate			80,327				21.0	%
State taxes, net of federal tax benefit (1)			11,352				3.0	%
Foreign tax effects:
Saudi Arabia
Withholding taxes			4,993				1.3	%
Noncontrolling interests			(13,965	)			-3.7	%
Other			(603	)			-0.2	%
Other foreign jurisdictions			(6,579	)			-1.7	%
Effect of cross-border tax laws:
Tax cost of foreign operations, net of credits			(3,742	)			-1.0	%
Foreign-derived intangible income			(2,107	)			-0.5	%
Other			62				0.0	%
Tax credits:
Research and development credit			(5,727	)			-1.5	%
Other			(360	)			-0.1	%
Change in valuation allowances			5,984				1.6	%
Nontaxable or nondeductible items:
Executive compensation			5,051				1.3	%
Equity compensation			(3,596	)			-0.9	%
Other			(209	)			-0.1	%
Change in unrecognized tax benefits			1,820				0.5	%
Other adjustments			946				0.3	%
Total income tax expense		$	73,647				19.3	%

(1)

The states and local jurisdictions that contribute to the majority (greater than 50%) of the tax effect in this category include California, Virginia, Maryland, Texas, and Florida.

Income tax expense (benefit) was different from the amount computed by applying the United States federal statutory rate to pre-tax income from continuing operations, prior to adopting ASU 2023-09, as a result of the following (in thousands):


		2024								2023
Income before income tax expense		$	367,651							$	264,053
Tax at federal statutory tax rate			77,207				21.0	%			55,451				21.0	%
State taxes, net of federal tax benefit			11,852				3.2	%			9,807				3.7	%
Change in valuation allowance			11,111				3.0	%			5,773				2.2	%
Change in uncertain tax positions			3,584				1.0	%			3,530				1.3	%
Foreign tax rate differential			(6,078	)			-1.7	%			(6,258	)			-2.4	%
Tax cost of foreign operations, net of credits			1,842				0.5	%			3,085				1.2	%
Foreign-derived intangible income deduction			(14,794	)			-4.0	%			(4,736	)			-1.8	%
Noncontrolling interests			(11,679	)			-3.2	%			(9,821	)			-3.7	%
Federal business credits			(2,932	)			-0.8	%			(2,731	)			-1.0	%
Executive compensation			7,351				2.0	%			1,636				0.6	%
Equity compensation			(7,170	)			-2.0	%			(158	)			-0.1	%
Other, net			6,692				1.8	%			560				0.2	%
Total income tax expense		$	76,986				20.9	%		$	56,138				21.3	%

Components of Deferred Tax Assets and Liabilities

The components of deferred tax assets and liabilities consist of the following at December 31, 2025 and December 31, 2024 (in thousands):


		2025				2024
Deferred tax assets
Project and non-project reserves		$	18,276			$	23,184
Employee compensation and benefits			76,977				76,944
Revenue and cost recognition			33,345				46,250
Insurance accruals			10,448				12,424
Net operating losses			15,107				17,640
Lease liabilities			34,777				42,572
Tax credit carryforwards			43,067				35,845
Other			11,048				17,432
Total deferred tax assets			243,045				272,291
Valuation allowance			(50,558	)			(45,318	)
Total deferred tax assets			192,487				226,973
Deferred tax liabilities
Intangible assets			(71,648	)			(57,361	)
Right-of-use assets			(31,464	)			(38,605	)
Profit remittance tax			(7,810	)			(6,842	)
Other			(5,533	)			(1,758	)
Total deferred tax liabilities			(116,455	)			(104,566	)
Net deferred tax asset		$	76,032			$	122,407

Reconciliation of Beginning and Ending Balances of Unrecognized Tax Benefits

A reconciliation of the beginning and ending balances of unrecognized tax benefits is as follows (in thousands):


		2025				2024				2023
Beginning of year		$	29,538			$	25,497			$	22,798
Increases—current year tax positions			7,548				1,058				3,220
Increases—prior year tax positions			2,436				7,488				2,458
Decreases—prior year tax positions			(1,458	)			(1,826	)			(1,589	)
Settlements			—				(1,334	)			(1,026	)
Lapse of statute of limitations			(5,710	)			(1,345	)			(364	)
End of year		$	32,354			$	29,538			$	25,497

Schedule of Amounts of Cash Income Taxes Paid (Net of Refunds Received)

The amounts of cash income taxes paid (net of refunds received) by the Company were as follows (in thousands):


		2025
Federal		$	(13	)
State and local:
California			1,730
All other state and local			8,212
Foreign:
Saudi Arabia			17,018
All other foreign			3,847
Total income taxes paid, net of refunds received		$	30,794