“The effective tax rate during the nine months ended March 31, 2026 was higher compared to the nine months ended March 31, 2025, primarily due to a decrease in the proportion of earnings generated in jurisdictions with tax rates lower than the U.S. statutory rates and a decrease in the proportion of U.S. earnings eligible for the Foreign Derived Intangible Income deduction, partially offset by a decrease in our Global Intangible Low-Taxed Income and a $230.4 million goodwill impairment charge during the nine months ended March 31, 2024 which is non-deductible for income tax.”
“Q3 FY25 YTD 2026 2025 Interest expense $ 211,166 $ 229,041 $ (17,875) (8) % Other expense (income), net $ (160,874) $ (121,323) $ (39,551) (33) % Interest expense as a percentage of total revenues 2 % 3 % Other expense (income), net as a percentage of total revenues (2) % (1) % Interest expense during the nine months ended March 31, 2026 decreased compared to the nine months ended March 31, 2025 primarily due to reduced interest expense following our $750.0 million debt repayment in the second quarter of fiscal 2025.”
“Provision for Income Taxes The following table provides details of income taxes: Year Ended June 30, (Dollar amounts in thousands) 2025 2024 2023 Income before income taxes $ 4,644,448 $ 3,190,032 $ 3,789,190 Provision for income taxes $ 582,805 $ 428,136 $ 401,839 Effective tax rate 12.5 % 13.4 % 10.6 % Tax expense was lower as a percentage of income before taxes during the fiscal year ended June 30, 2025 compared to the fiscal year ended June 30, 2024 primarily due to goodwill impairment charges, which are non-deductible for income tax.”