Income Taxes |
3 Months Ended |
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Jun. 30, 2026 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | Income Taxes The Company’s effective tax rate was 26.2% and 26.8% for the three months ended June 30, 2026 and 2025, respectively. The Company's effective tax rate for the three months ended June 30, 2026 differs from the U.S. federal statutory tax rate primarily as a result of U.S. state taxes. The Company does not provide for income taxes on its share of the undistributed earnings of HCFI which are intended to be indefinitely reinvested outside the United States. At June 30, 2026, $997 million of accumulated undistributed earnings of HCFI were intended to be so reinvested. If the undistributed earnings as of June 30, 2026 were to be distributed, the tax liability associated with these earnings would be $93 million, inclusive of currency translation adjustments. As of June 30, 2026, the Company is subject to examination for U.S. federal returns filed for the taxable years ended March 31, 2023 through 2025, and for various U.S. state returns filed for the taxable years ended March 31, 2014 through 2025. The Company’s Canadian subsidiary, HCFI, is subject to examination for federal and provincial returns filed for the taxable years ended March 31, 2019 through 2025. The Company believes appropriate provision has been made for all outstanding issues for all open years.
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