Income Taxes (Tables)

12 Months Ended

Oct. 31, 2022

Components of income before income taxes:


Years Ended October 31, (In millions)	2022		2021		2020
Income before income taxes:
United States	$	31.4	$	(31.0)	$	(88.0)
Foreign	443.9		522.5		354.5
	$	475.3	$	491.5	$	266.5

Components of provision for income taxes:


Years Ended October 31, (In millions)	2022		2021		2020
Current:
Federal	$	10.2	$	21.0	$	1.4
State	3.8		1.3		1.1
Foreign	21.7		26.7		26.5
	35.7		49.0		29.0

Deferred:
Federal	10.5		(8.8)		3.2
State	(2.2)		(0.5)		0.8
Foreign	45.6		(2,492.9)		(4.9)
	53.9		(2,502.2)		(0.9)
Provision for income taxes	$	89.5	$	(2,453.2)	$	28.1

Reconciliation between the expected provision for income taxes at the US federal statutory rate and the provision for income taxes:


Years Ended October 31, (In millions)	2022		2021		2020
Provision for income taxes at United States statutory tax rate	$	99.8	$	103.2	$	56.0
(Decrease) increase in taxes resulting from:
Foreign earnings in jurisdictions with lower tax rates	(22.3)		(43.6)		(54.7)
Foreign earnings subject to United States tax	20.7		25.4		32.0

Excess tax benefits from share-based compensation	(2.6)		(13.0)		(6.2)
Deferred tax asset step-up	(3.4)		3.2		(9.0)
United States provision-to-return	0.5		(1.2)		7.0
Intra-group transfer to UK subsidiary	—		(1,987.8)		—
Remeasurement of deferred tax assets from UK rate change	—		(536.7)		—
Change in unrecognized tax benefits	(12.7)		(7.6)		(0.1)
State tax provision	5.0		0.8		1.9
Other, net	4.5		4.1		1.2
Provision for income taxes	$	89.5	$	(2,453.2)	$	28.1

Components of deferred tax assets and liabilities:


Years Ended October 31, (In millions)	2022		2021
Deferred tax assets:
Accounts receivable	$	4.9	$	3.4
Inventories	6.3		6.1
Accrued liabilities, reserves and compensation accruals	79.9		78.1
Foreign deferred tax assets	2,500.5		2,531.5
Share-based compensation	14.5		28.6
Net operating loss and tax credit carryforwards	19.6		19.3
Intangible assets	—		6.8
Capitalized research and experimental expenses	15.4		13.5
Total gross deferred tax assets	2,641.1		2,687.3
Less: valuation allowance	(60.1)		(51.8)
Deferred tax assets	2,581.0		2,635.5
Deferred tax liabilities:
Tax deductible goodwill	(39.7)		(34.0)
Intangible assets	(153.8)		—
Plant and equipment	(48.8)		(46.5)
Foreign deferred tax liabilities	(45.5)		(32.5)


Total gross deferred tax liabilities	(287.8)		(113.0)
Net deferred tax assets	$	2,293.2	$	2,522.5

Changes in unrecognized tax benefits:


(In millions)
Balance at October 31, 2020	$	58.5
Decrease based on tax positions in prior fiscal years	(8.3)
Increase based on tax positions in current fiscal year	307.2
Settlements	(1.9)
Lapses of statutes of limitations	(1.7)
Balance at October 31, 2021	$	353.8
Decrease based on tax positions in prior fiscal years	(12.5)

Settlements	(0.2)

Lapses of statutes of limitations	(4.2)

Balance at October 31, 2022	$	336.9