v3.26.1
Income Taxes (Tables)
 12 Months Ended
May 02, 2026
Income Tax Disclosure [Abstract]  
Schedule of Income Tax Provision

The U.S. and foreign components of pre-tax income (loss) and income tax expense (benefit) are as follows:

 

 

Fiscal Year Ended

 

 

 

May 2, 2026

 

 

May 3, 2025

 

 

April 27, 2024

 

(in millions)

 

(52 Weeks)

 

 

(53 Weeks)

 

 

(52 Weeks)

 

Pre-tax income (loss):

 

 

 

 

 

 

 

 

 

U.S.

 

$

(90.7

)

 

$

(118.3

)

 

$

(199.4

)

Foreign

 

 

80.0

 

 

 

68.2

 

 

 

71.3

 

Total pre-tax income (loss)

 

$

(10.7

)

 

$

(50.1

)

 

$

(128.1

)

Income tax expense (benefit):

 

 

 

 

 

 

 

 

 

Current:

 

 

 

 

 

 

 

 

 

U.S. (federal and state)

 

$

1.8

 

 

$

(4.0

)

 

$

0.1

 

Foreign

 

 

21.9

 

 

 

22.0

 

 

 

16.6

 

Total current expense

 

 

23.7

 

 

 

18.0

 

 

 

16.7

 

Deferred:

 

 

 

 

 

 

 

 

 

U.S. (federal and state)

 

 

0.3

 

 

 

(0.9

)

 

 

(17.9

)

Foreign

 

 

1.0

 

 

 

(4.6

)

 

 

(3.6

)

Total deferred benefit

 

 

1.3

 

 

 

(5.5

)

 

 

(21.5

)

Total income tax expense (benefit)

 

$

25.0

 

 

$

12.5

 

 

$

(4.8

)

 
Schedule of Consolidated/Reconciliation Income Tax Expense the consolidated provision for income taxes is shown below:

 

 

Fiscal Year Ended

 

 

 

May 2, 2026

 

(in millions)

 

Amount

 

 

Percent

 

Benefit for income taxes at U.S. federal statutory income tax rate

 

$

(2.3

)

 

 

21.0

%

Domestic federal tax effects

 

 

 

 

 

 

Effect of cross-border tax laws

 

 

 

 

 

Global intangible low-taxed income, net of foreign tax credit

 

 

17.7

 

 

 

(164.9

)

Other effect of cross-border tax laws

 

 

1.4

 

 

 

(12.9

)

Nontaxable or nondeductible items

 

 

 

 

 

Compensation and benefits

 

 

1.5

 

 

 

(13.7

)

Changes in valuation allowances

 

 

(1.4

)

 

 

13.9

 

Domestic state and local income taxes, net of federal tax effect1

 

 

1.2

 

 

 

(11.3

)

Foreign tax effects

 

 

 

 

 

Belgium

 

 

 

 

 

Alternative minimum tax

 

 

1.2

 

 

 

(11.5

)

Other

 

 

0.2

 

 

 

(1.9

)

China

 

 

 

 

 

Withholding taxes

 

 

1.2

 

 

 

(11.5

)

Unremitted earnings of foreign subsidiaries

 

 

2.9

 

 

 

(27.5

)

Other

 

 

1.2

 

 

 

(10.6

)

Egypt

 

 

 

 

 

Foreign tax rate differential

 

 

(5.5

)

 

 

51.2

 

Finland

 

 

 

 

 

Alternative minimum tax

 

 

1.5

 

 

 

(14.4

)

Other

 

 

(0.1

)

 

 

1.2

 

Malta

 

 

 

 

 

Foreign tax rate differential

 

 

(3.2

)

 

 

29.8

 

Nondeductible interest

 

 

4.7

 

 

 

(44.1

)

Other credits

 

 

(1.5

)

 

 

13.8

 

Mexico

 

 

2.1

 

 

 

(19.7

)

Other jurisdictions

 

 

2.2

 

 

 

(19.6

)

Consolidated provision for income taxes

 

$

25.0

 

 

(232.7)%

 

 (1) Illinois, Michigan, and Oklahoma contribute to the majority of this tax effect.

 

 

 

 

 

 

A reconciliation of income tax expense (benefit) to the U.S. statutory federal income tax rate of 21% is as follows:

 

 

Fiscal Year Ended

 

 

 

May 3, 2025

 

 

April 27, 2024

 

(in millions)

 

(53 Weeks)

 

 

(52 Weeks)

 

Income tax at statutory rate

 

$

(10.5

)

 

$

(26.9

)

Effect of:

 

 

 

 

 

 

State income taxes, net of federal benefit

 

 

(2.0

)

 

 

(1.0

)

Goodwill impairment

 

 

—

 

 

 

22.7

 

Interest

 

 

2.3

 

 

 

—

 

Withholding taxes

 

 

2.0

 

 

 

3.2

 

Non-deductible compensation

 

 

3.7

 

 

 

0.3

 

Foreign tax differential

 

 

(2.6

)

 

 

(5.1

)

U.S. tax on foreign income

 

 

11.5

 

 

 

3.5

 

Foreign investment tax credit

 

 

—

 

 

 

0.1

 

Research and development

 

 

(1.4

)

 

 

(1.5

)

Change in tax reserve

 

 

(4.0

)

 

 

—

 

Change in valuation allowance

 

 

13.5

 

 

 

(1.0

)

Other, net

 

 

—

 

 

 

0.9

 

Income tax expense (benefit)

 

$

12.5

 

 

$

(4.8

)

Effective income tax rate

 

 

(25.0

)%

 

 

3.7

%
Schedule of Deferred Income Tax Assets and Liabilities

Significant components of the Company’s deferred income tax assets and liabilities were as follows:

(in millions)

 

May 2, 2026

 

 

May 3, 2025

 

Deferred tax liabilities:

 

 

 

 

 

 

Amortization

 

$

(49.1

)

 

$

(51.9

)

Foreign tax

 

 

(5.8

)

 

 

(2.9

)

Lease assets

 

 

(5.1

)

 

 

(5.7

)

Unrealized foreign exchange gain/loss

 

 

(3.4

)

 

 

(1.9

)

Deferred tax liabilities, gross

 

 

(63.4

)

 

 

(62.4

)

Deferred tax assets:

 

 

 

 

 

 

Deferred compensation and stock award amortization

 

 

7.3

 

 

 

6.9

 

Fixed assets

 

 

2.1

 

 

 

1.6

 

Inventory

 

 

6.6

 

 

 

8.6

 

Lease liabilities

 

 

5.9

 

 

 

6.4

 

Derivative financial instruments

 

 

—

 

 

 

0.9

 

Foreign investment tax credit

 

 

27.8

 

 

 

25.6

 

Research expenditures

 

 

8.9

 

 

 

8.3

 

Net operating loss carryforwards

 

 

15.9

 

 

 

14.8

 

Foreign tax credits

 

 

3.1

 

 

 

3.4

 

Interest carryforwards

 

 

11.8

 

 

 

12.3

 

Other

 

 

4.9

 

 

 

5.3

 

Deferred tax assets, gross

 

 

94.3

 

 

 

94.1

 

Less valuation allowance

 

 

(21.1

)

 

 

(20.7

)

Deferred tax assets, net of valuation allowance

 

 

73.2

 

 

 

73.4

 

Net deferred tax asset

 

$

9.8

 

 

$

11.0

 

Balance sheet classification:

 

 

 

 

 

 

Long-term asset

 

$

39.5

 

 

$

37.8

 

Long-term liability

 

 

(29.7

)

 

 

(26.8

)

Net deferred tax asset

 

$

9.8

 

 

$

11.0

 
Schedule of Reconciliation of Unrecognized Tax Benefits

The following table presents a reconciliation of the beginning and ending amounts of unrecognized tax benefits:

(in millions)

 

May 2, 2026

 

 

May 3, 2025

 

Balance at beginning of period

 

$

0.8

 

 

$

4.4

 

Increases for positions related to the current year

 

 

0.2

 

 

 

0.3

 

Lapsing of statutes of limitations

 

 

(0.2

)

 

 

(3.9

)

Balance at end of period

 

$

0.8

 

 

$

0.8

 
Schedule of Income Taxes Paid, Net of Refunds

A summary of income taxes paid, net of refunds, is shown below:

 

 

Fiscal Year Ended

 

 

 

May 2, 2026

 

(in millions)

 

(52 Weeks)

 

Federal

 

$

9.3

 

State and Local

 

0.1

 

Foreign:

 

 

 

Belgium

 

 

1.9

 

China

 

 

7.5

 

Finland

 

 

2.2

 

Malta

 

 

(1.4

)

Mexico

 

 

2.0

 

United Kingdom

 

 

1.3

 

All other foreign

 

 

1.7

 

Income taxes paid, net of refunds

 

$

24.6