Income Taxes

3 Months Ended

Apr. 02, 2022

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

Income tax expense was $2.4 million on pre-tax loss of $4.3 million for the three months ended April 2, 2022, as compared to income tax expense of $4.7 million on pre-tax loss of $5.5 million in the comparable prior year period. The effective income tax rate for the three months ended April 2, 2022 was (55.8)%, compared to (85.5)% in the comparable prior year period.

The effective tax rate for the three months ended April 2, 2022 varied from the effective tax rate in the comparable prior year period due primarily to decreased earnings in taxable jurisdictions.

The effective tax rate for the three months ended April 2, 2022 varied from the statutory tax rate primarily due to losses in tax jurisdictions for which no tax benefit is recognized due to existing valuation allowances, as well as income in tax jurisdictions with tax rates lower than the Canadian statutory tax rate.