XML 42 R26.htm IDEA: XBRL DOCUMENT
v3.22.4

Income Taxes (Tables) | 12 Months Ended
--- | ---
Dec. 31, 2022
Income Tax Disclosure [Abstract] |
Schedule of Income Tax Provision (Benefit) | The Company’s income tax provision (benefit) consists of the following:
|  | Fiscal Year Ended |
|  | December 31, 2022 |  |  | December 25, 2021 |  |  | December 26, 2020 |
U.S. federal: |  |  |  |  |  |  |  |  |
Current |  | $ | 45,639 |  |  | $ | (13,096 | ) |  | $ | (25,220 | )
Deferred |  |  | (149,734 | ) |  |  | (42,625 | ) |  |  | (7,115 | )
|  | $ | (104,095 | ) |  | $ | (55,721 | ) |  | $ | (32,335 | )
U.S. state: |  |  |  |  |  |  |  |  |
Current |  | $ | 12,870 |  |  | $ | (5,876 | ) |  | $ | (3,931 | )
Deferred |  |  | (29,160 | ) |  |  | (8,132 | ) |  |  | 2,715 |
|  | $ | (16,290 | ) |  | $ | (14,008 | ) |  | $ | (1,216 | )
Foreign: |  |  |  |  |  |  |  |  |
Current |  | $ | 175,335 |  |  | $ | 149,012 |  |  | $ | 133,622 |
Deferred |  |  | 36,439 |  |  |  | 45,313 |  |  |  | 11,015 |
|  | $ | 211,774 |  |  | $ | 194,325 |  |  | $ | 144,637 |
Total |  | $ | 91,389 |  |  | $ | 124,596 |  |  | $ | 111,086 |
Effective Income Tax Rate Reconciliation at Federal Statutory Income Tax Rate, Amount | The sources and tax effects of the differences, including the impact of establishing tax contingency accruals, are as follows:
|  | Fiscal Year Ended |
|  | December 31, 2022 |  |  | December 25, 2021 |  |  | December 26, 2020 |
Federal income tax expense at U.S. statutory rate |  | $ | 223,658 |  |  | $ | 253,429 |  |  | $ | 231,718 |
State income tax (benefit) expense, net of federal tax effect |  |  | (21,064 | ) |  |  | (12,198 | ) |  |  | (3,404 | )
Foreign-derived intangible income (FDII) deduction |  |  | (12,343 | ) |  |  | — |  |  |  | — |
Foreign tax rate differential |  |  | (114,599 | ) |  |  | (117,586 | ) |  |  | (98,130 | )
Other foreign taxes less incentives and credits |  |  | 24,273 |  |  |  | 29,240 |  |  |  | 3,446 |
Withholding tax |  |  | 27,041 |  |  |  | 22,992 |  |  |  | 17,026 |
Net change in uncertain tax positions |  |  | (14,381 | ) |  |  | (17,087 | ) |  |  | (21,391 | )
U.S. federal research and development credit |  |  | (29,384 | ) |  |  | (22,764 | ) |  |  | (21,342 | )
Share-based compensation |  |  | 30 |  |  |  | (6,362 | ) |  |  | (6,114 | )
Switzerland tax reform - tax assets |  |  | 7,168 |  |  |  | (177 | ) |  |  | 11,016 |
Other, net |  |  | 990 |  |  |  | (4,891 | ) |  |  | (1,739 | )
Income tax expense |  | $ | 91,389 |  |  | $ | 124,596 |  |  | $ | 111,086 |
Schedule of Deferred Tax Assets and Liabilities | Significant components of the Company’s deferred tax assets and liabilities are as follows:
|  | December 31, 2022 |  |  | December 25, 2021 |
Deferred tax assets: |  |  |  |  |  |
Product warranty accruals |  | $ | 12,111 |  |  | $ | 10,578 |
Accrued vacation |  |  | 14,986 |  |  |  | 14,073 |
Share-based compensation |  |  | 8,667 |  |  |  | 12,000 |
Tax credit carryforwards |  |  | 19,950 |  |  |  | 24,508 |
Intangible assets |  |  | 156,702 |  |  |  | 173,468 |
Capitalized research & development expenses |  |  | 231,429 |  |  |  | 53,827 |
Net operating losses |  |  | 4,955 |  |  |  | 9,069 |
Operating leases |  |  | 30,310 |  |  |  | 13,685 |
Deferred revenue |  |  | 18,327 |  |  |  | 20,970 |
Tax basis in excess of book basis for investments |  |  | 27,227 |  |  |  | 4,321 |
Other |  |  | 18,259 |  |  |  | 20,220 |
Valuation allowance related to loss carryforward and tax credits |  |  | (17,077 | ) |  |  | (19,709 | )
|  | $ | 525,846 |  |  | $ | 337,010 |
Deferred tax liabilities: |  |  |  |  |  |
Fixed assets |  |  | 40,526 |  |  |  | 27,970 |
Operating leases |  |  | 29,756 |  |  |  | 13,322 |
Prepaid and perpetual license assets |  |  | 11,798 |  |  |  | 17,350 |
Book basis in excess of tax basis for acquired entities |  |  | 21,970 |  |  |  | 32,907 |
Withholding tax |  |  | 108,692 |  |  |  | 89,285 |
Other |  |  | 1,998 |  |  |  | 13,566 |
|  | $ | 214,740 |  |  | $ | 194,400 |
Net deferred tax assets |  | $ | 311,106 |  |  | $ | 142,610 |
Schedule of Gross Unrecognized Tax Benefits | The total amount of gross unrecognized tax benefits, as of December 31, 2022 was $30,795. A reconciliation of the beginning and ending amount of gross unrecognized tax benefits for years ended December 31, 2022, December 25, 2021, and December 26, 2020 is as follows:
|  | December 31, 2022 |  |  | December 25, 2021 |  |  | December 26, 2020 |
Balance beginning of year |  | $ | 65,216 |  |  | $ | 84,985 |  |  | $ | 101,251 |
Additions based on tax positions related to prior years |  |  | — |  |  |  | — |  |  |  | 10,480 |
Reductions based on tax positions related to prior years |  |  | (6,363 | ) |  |  | (4,727 | ) |  |  | (4,169 | )
Additions based on tax positions related to current period |  |  | 2,368 |  |  |  | 4,272 |  |  |  | 16,859 |
Reductions related to settlements with tax authorities |  |  | (15,476 | ) |  |  | — |  |  |  | (935 | )
Expiration of statute of limitations |  |  | (14,950 | ) |  |  | (19,314 | ) |  |  | (38,501 | )
Balance at end of year |  | $ | 30,795 |  |  | $ | 65,216 |  |  | $ | 84,985 |

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32639-109319 + Details
Name: | us-gaap_ScheduleOfComponentsOfIncomeTaxExpenseBenefitTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32537-109319 + Details
Name: | us-gaap_ScheduleOfDeferredTaxAssetsAndLiabilitiesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the reconciliation using percentage or dollar amounts of the reported amount of income tax expense attributable to continuing operations for the year to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 12 -URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32687-109319 + Details
Name: | us-gaap_ScheduleOfEffectiveIncomeTaxRateReconciliationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the change in unrecognized tax benefits. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 55 -Paragraph 217 -URI https://asc.fasb.org/extlink&oid=126976462&loc=d3e36027-109320 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15A -URI https://asc.fasb.org/extlink&oid=121826272&loc=SL6600010-109319 + Details
Name: | us-gaap_ScheduleOfUnrecognizedTaxBenefitsRollForwardTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration