Income Taxes (Tables)

12 Months Ended

Mar. 31, 2026

Income from continuing operations before income taxes for fiscal years 2026, 2025 and 2024 is summarized as follows (in thousands):


	Years Ended March 31,
	2026		2025		2024
Swiss	$	550,787	$	492,941	$	502,291
Non-Swiss	275,732		213,931		119,305
Income before taxes	$	826,519	$	706,872	$	621,596

Schedule of Provision for Income Taxes

The provision for income taxes is summarized as follows (in thousands):


	Years Ended March 31,
	2026		2025		2024
Current:
Swiss	$	54,644	$	(14,673)	$	26,833
Non-Swiss	30,866		33,473		25,044
Deferred:

Swiss	38,192		45,283		(47,517)
Non-Swiss	(8,370)		11,260		5,093
Provision for income taxes	$	115,332	$	75,343	$	9,453

Schedule of Effective Income Tax Rate Reconciliation

The following table is presented in accordance with ASU 2023-09, which the Company adopted in fiscal year 2026. The Company has adopted this standard prospectively. See Note 2 for additional information. The difference between the provision for income taxes and the expected tax provision at the Swiss statutory income tax rate of 8.5% for the current period is reconciled below (in thousands):


	Year Ended March 31,
	2026		As a percent
Pretax book income at Statutory rate	$	70,250	8.5	%
Domestic federal reconciling items:
Federal Tax Deduction	(4,436)		(0.5)	%
Participation Exemption	(33,617)		(4.1)	%
Domestic state and local income taxes:
Vaud	43,812		5.3	%
Zurich	415		0.1	%
Domestic other, net	4,213		0.5	%
Foreign reconciling items:
U.S.:
Statutory tax rate difference between United States and Switzerland	13,948		1.7	%
Foreign derived intangible income	(4,192)		(0.5)	%
State tax expense, net of federal benefit	4,189		0.5	%
Tax credits	(6,022)		(0.7)	%
Non-deductible executive compensation	4,314		0.5	%
Other, net	346		—	%
China:
Statutory tax rate difference between China and Switzerland	8,931		1.1	%
Other, net	118		—	%
Hong Kong - Tax exempt dividends	(7,402)		(0.9)	%
Other foreign jurisdictions	45,138		5.5	%
Changes in unrecognized tax benefits	(24,673)		(3.0)	%
Effective Tax Rate	$	115,332	14.0	%

The difference between the provision for income taxes and the expected tax provision at the Swiss statutory income tax rate of 8.5% is reconciled for prior periods as previously disclosed prior to the adoption of ASU 2023-09 (in thousands):


	Years Ended March 31,
		2025		2024
Expected tax provision at statutory income tax rates		$	60,084	$	52,836
Income taxes at different rates		68,212		47,595
Research and development tax credits		(6,797)		(9,738)
Swiss Tax Benefits		—		(50,051)
Executive compensation		980		407
Stock-based compensation		(2,162)		4,019
Deferred tax effects from TRAF		—		(33,926)
Valuation allowance		1,000		4,780

Restructuring credits		(817)		—
Unrecognized tax benefits/ Audit resolution and statute lapse		(43,333)		11,535

FDII deduction		(1,424)		(18,675)
Other, net		(400)		671
Provision for income taxes		$	75,343	$	9,453

Schedule of Deferred Income Tax Assets and Liabilities

Deferred income tax assets and liabilities consist of the following (in thousands):


	March 31,
	2026		2025
Deferred tax assets:
Tax attributes carryforward	$	42,408	$	43,536
Future tax deduction from Swiss Tax Benefits	50,630		48,267
Accruals	67,963		72,114
Tax step-up of goodwill from TRAF	73,512		86,519
Share-based compensation	20,228		15,411
Gross deferred tax assets	254,741		265,847
Valuation allowance	(36,922)		(36,537)
Deferred tax assets after valuation allowance	$	217,819	$	229,310
Deferred tax liabilities:
Acquired intangible assets and other	$	(23,975)	$	(27,788)
Deferred tax liabilities	(23,975)		(27,788)
Deferred tax assets, net	$	193,844	$	201,522

Schedule of Income Taxes Paid, Net of Refunds Received

The following table presents income taxes, including withholding taxes, paid, net of refunds received, disaggregated by federal, state, and foreign jurisdictions (in thousands):


	Year Ended March 31,
	2026
Switzerland - Federal	$	19,028
Switzerland - Cantonal:
Vaud	$	21,851
Zurich	116
Total Cantonal	$	21,967
Foreign:
United States	$	6,502
China	9,466
Japan	5,283
Brazil	5,059
Sweden	4,551
Other	14,497
Total Foreign	$	45,358
Total	$	86,353

Schedule of Aggregate Changes in Gross Unrecognized Tax Benefits

The aggregate changes in gross unrecognized tax benefits in fiscal years 2026, 2025 and 2024 were as follows (in thousands):


March 31, 2023	$	191,000
Lapse of statute of limitations	(3,863)
Settlements with taxing authorities	41
Increases in balances related to tax positions taken during prior years	705
Increases in balances related to tax positions taken during the year	22,332
March 31, 2024	$	210,215
Lapse of statute of limitations	(25,075)
Settlements with taxing authorities	(32,314)
Increases (decreases) in balances related to tax positions taken during prior years	(3,055)
Increases in balances related to tax positions taken during the year	2,213
March 31, 2025	$	151,984
Lapse of statute of limitations	(23,176)

Increases (decreases) in balances related to tax positions taken during prior years	(1,120)
Increases in balances related to tax positions taken during the year	3,673
March 31, 2026	$	131,361