Income Taxes

3 Months Ended

Dec. 31, 2023

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

The calculation of the effective tax rate is as follows (in thousands):

	Three months ended December 31,
	2023			2022
Income before income taxes	$	29,878		$	1,613
Income tax provision	5,793			451
Net income	$	24,085		$	1,162
Effective tax rate	19		%	28		%

Our income tax provision reflects an effective tax rate on pre-tax income of 19% for the three months ended December 31, 2023 compared to 28% for the three months ended December 31, 2022. The effective tax rate for the first quarter of Fiscal 2024 was favorably impacted by a discrete item related to the vesting of restricted stock units and the estimated Research and Development Tax Credit (R&D Tax Credit). These items were partially offset by an inclusion related to U.S. global intangible income and the tax expense related to certain nondeductible expenses. The effective tax rate for the first quarter of Fiscal 2023 was also favorably impacted by the estimated R&D Tax Credit but was partially offset by an unfavorable discrete item related to the vesting of restricted stock units.