Income Taxes |
9 Months Ended |
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Sep. 30, 2026 | |
| Income Tax Disclosure [Abstract] | |
| Income Taxes | Income Taxes The Company’s effective tax rates were a benefit of 1.4% and an expense of 57.4% for the three months ended September 30, 2026 and 2025, respectively, and a benefit of 2.3% and an expense of 35.2% for the nine months ended September 30, 2026 and 2025, respectively. During the three and nine months ended September 30, 2026, the net effect of discrete items decreased the effective tax rate by 35.2% and 38.9%, respectively. The discrete items for the three and nine months ended September 30, 2026, primarily relate to the book goodwill impairment which is non-deductible for tax purposes, partially offset by shortfalls on equity award vestings and prior-years tax return finalization. Excluding discrete items, the Company’s effective tax rate would have been 36.6% and 41.2% for the three and nine months ended September 30, 2026. During the three and nine months ended September 30, 2025, the net effect of discrete items decreased the effective tax rate by 19.5% and 9.6%, respectively. The discrete items for the three months ended September 30, 2025, primarily relate to a decrease in the valuation allowance and a release of an uncertain tax position. The discrete items for the nine months ended September 30, 2025, primarily relate to a decrease in the valuation allowance and a release of an uncertain tax position, partially offset by shortfalls on equity award vestings. Excluding discrete items, the Company’s effective tax rate would have been 76.9% and 44.8% for the three and nine months ended September 30, 2025, respectively. The Company has computed the provision for income taxes based on the estimated annual effective tax rate excluding loss jurisdictions with no tax benefit and the application of discrete items, if any, in the applicable period. During the three and nine months ended September 30, 2026 and 2025, uncertain tax positions recorded by the Company were not material. To the extent the remaining uncertain tax positions are ultimately recognized, the Company’s effective tax rate may be impacted in future periods. The Company recognizes interest expense and tax penalties related to unrecognized tax benefits in income tax expense in the Consolidated Statements of Operations. The Company’s accrual for interest and penalties related to unrecognized tax benefits was not material for the three and nine months ended September 30, 2026 and 2025. During the nine months ended September 30, 2026, the Company had net cash taxes paid of $8.3 million and during the nine months ended September 30, 2025, the Company had net cash taxes paid of $16.4 million.
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