Income Taxes

3 Months Ended

Jun. 30, 2022

Income Tax Disclosure [Abstract]

Income Taxes

Note 14. Income Taxes

The Company’s income tax provision was $15.3 million and $17.2 million for the three months ended June 30, 2022 and 2021, respectively. The Company’s effective tax rate was 21.9% and 183.7% for the three months ended June 30, 2022 and 2021, respectively. The effective tax rate differs from the statutory federal income tax rate of 21.0% primarily due to state and foreign income taxes and permanent differences offset by credits and excess tax benefits for the three months ended June 30, 2022 and a non-deductible charge for in-process research and development related to the preCARDIA acquisition offset by excess tax benefits related to share-based compensation for the three months ended June 30, 2021. The Company recognized excess tax benefits associated with stock-based awards of $1.0 million and $3.6 million for the three months ended June 30, 2022 and 2021, respectively.

The Company is subject to the examination of its income tax returns by the Internal Revenue Service and other tax authorities. The outcome of these audits cannot be predicted with certainty. The Company’s most recent completed income tax audits were in the U.S., relating to fiscal year 2016 and in Germany, which covered fiscal years 2016 through 2019. These tax audits did not materially impact the Company’s financial statements. All other tax years remain subject to examination by the IRS, state and foreign tax authorities.