Income Taxes

6 Months Ended

May 26, 2024

Income Tax Disclosure [Abstract]

INCOME TAXES

INCOME TAXES

The Company’s effective income tax rate was (49.4)% for the three months ended May 26, 2024, compared to 78.4% for the same prior-year period. The decrease in the effective tax rate in the current quarter is primarily driven by a tax benefit of $7.5 million related to a favorable resolution of a state audit in the current year and the inclusion of discrete tax benefits recognized on $7.2 million of loss before income tax in the prior year.

The Company’s effective income tax rate was 1,126.3% for the six months ended May 26, 2024, compared to 14.3% for the same prior-year period. The increase in the effective tax rate is primarily driven by a tax benefit of $7.5 million related to a favorable resolution of a state audit.