INCOME TAXES |
6 Months Ended |
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Jul. 04, 2026 | |
| Income Tax Disclosure [Abstract] | |
| INCOME TAXES | NOTE L – INCOME TAXES For the three and six months ended July 4, 2026, the Company recorded income tax expense of $9,051 and $17,557, respectively, on loss before income taxes of $18,900 and $3,435, respectively. This compares to the Company’s effective tax rate of 44.5% for both the three and six months ended June 28, 2025, which reflects the Company’s customary relationship between earnings before income taxes and income taxes after considering the impact of foreign, state, and other taxes in excess of the U.S. federal statutory rate of 21%. The variation from the Company’s customary effective tax rate relationship for the three and six months ended July 4, 2026 is primarily attributable to (i) the estimated annual effective tax rate on ordinary earnings before income taxes that is significantly higher than in the prior year due primarily to an unfavorable shift in the jurisdictional mix of the Company’s projected earnings, such that losses generated in certain markets are not producing a corresponding income tax benefit while income earned in other, generally higher-taxed, jurisdictions continues to generate income tax expense, and (ii) a $6,346 discrete tax benefit recognized during the three months ended July 4, 2026 related to the non-cash goodwill impairment charge recorded in the Hiya reporting unit (see Note C), which partially offset the increase in income tax expense described above.
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