Income Taxes |
9 Months Ended |
|---|---|
Mar. 31, 2026 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | 11. INCOME TAXES In general, the Company uses an estimated annual effective tax rate, which is based on expected annual income and statutory tax rates in the various jurisdictions in which the Company operates, to determine its quarterly provision for income taxes. However, to the extent that application of the estimated annual effective tax rate is not representative of the quarterly portion of actual tax expense expected to be recorded for the year in a jurisdiction, the Company determines the provision for income taxes based on actual year-to-date income (loss) which it has done for certain jurisdictions for the quarter ended March 31, 2026. Certain significant or unusual items are separately recognized in the quarter in which they occur and can be a source of variability on the effective tax rates from quarter to quarter. The Company’s effective tax rate may change from period-to-period based on recurring and non-recurring factors including the geographical mix of earnings, enacted tax legislation, state and local income taxes and tax audit settlements. The Company continued to record a valuation allowance on deferred tax assets in the U.S. and certain other jurisdictions due to the combination of its history of pretax losses and its inability to carry back tax losses or credits. The effective income tax rate was an expense of 0.7% and a benefit of 0.4% for the three months ended March 31, 2026 and 2025, respectively. The effective income tax rate was an expense of 0.8% and 2.3% for the nine months ended March 31, 2026 and 2025, respectively. The effective income tax rate for the three months ended March 31, 2026 was impacted by the geographical mix of earnings, state income taxes, impairment of goodwill and intangibles and the sale of the North American Snacks Business, as well as movement in both federal and state valuation allowances. The effective income tax rate for the nine months ended March 31, 2026 was also impacted by a Representation & Warranty (“R&W”) insurance payout related to a prior acquisition. The effective income tax rates for the three and nine months ended March 31, 2025 were impacted by the impairment of goodwill and personal care intangibles and movement in both federal and state valuation allowances. |