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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2024
Income Tax Disclosure [Abstract] |
Summary of (Loss) Income Before Income Tax Benefits | The domestic and foreign components of income before provision for income taxes for the years ended December 31, 2024, 2023, and 2022, respectively, were as follows (in thousands):
|  | Year Ended December 31, |
|  | 2024 |  |  | 2023 |  |  | 2022 |
(Loss) income before provision for income taxes from United States operations |  | $ | (144,187 | ) |  | $ | 25,250 |  |  | $ | 46,766 |
Income before provision for income taxes from foreign operations |  |  | 29,572 |  |  |  | 23,226 |  |  |  | 38,313 |
(Loss) income before provision for income taxes |  | $ | (114,615 | ) |  | $ | 48,476 |  |  | $ | 85,079 |
Summary of Current and Deferred Portions of Income Tax Benefits | The domestic and foreign components of the provision for income taxes for the years ended December 31, 2024, 2023, and 2022, respectively, were as follows (in thousands):
|  | Year Ended December 31, |
|  | 2024 |  |  | 2023 |  |  | 2022 |
Current: |  |  |  |  |  |  |  |  |
Federal |  | $ | 14,859 |  |  | $ | 18,486 |  |  | $ | 179 |
State |  |  | 3,350 |  |  |  | 5,772 |  |  |  | 4,593 |
Foreign |  |  | 7,385 |  |  |  | 6,480 |  |  |  | 9,817 |
Total Current |  | $ | 25,594 |  |  | $ | 30,738 |  |  | $ | 14,589 |
Deferred: |  |  |  |  |  |  |  |  |
Federal |  | $ | (26,129 | ) |  | $ | (16,857 | ) |  | $ | 1,773 |
State |  |  | (2,447 | ) |  |  | (2,313 | ) |  |  | 5,030 |
Foreign |  |  | (1,360 | ) |  |  | (385 | ) |  |  | (917 | )
Total Deferred |  | $ | (29,936 | ) |  | $ | (19,555 | ) |  | $ | 5,886 |
Total |  | $ | (4,342 | ) |  | $ | 11,183 |  |  | $ | 20,475 |
Summary of Reconciliation of U.S. Federal Statutory Income Tax Rate and Effective Income Tax Rate | The following table reconciles the U.S. statutory federal tax rate of 21% to the Company’s effective income tax rate of 3.79%, 23.07%, and 24.07%, for the years ended December 31, 2024, 2023, and 2022, respectively:
|  | Year Ended December 31, |
|  | 2024 |  |  | 2023 |  |  | 2022 |
U.S. statutory federal tax rate |  |  | 21.00 | % |  |  | 21.00 | % |  |  | 21.00 | %
State and local income taxes – net of federal tax benefits |  |  | 1.16 |  |  |  | 3.89 |  |  |  | 2.85 |
Foreign rate difference |  |  | (0.61 | ) |  |  | 0.59 |  |  |  | 0.67 |
Change in valuation allowances |  |  | (0.75 | ) |  |  | 0.83 |  |  |  | (1.06 | )
GILTI inclusion |  |  | (0.25 | ) |  |  | — |  |  |  | 1.41 |
Transaction cost |  |  | (6.26 | ) |  |  | 0.31 |  |  |  | — |
Share-based and other compensation |  |  | (8.74 | ) |  |  | 3.36 |  |  |  | 0.62 |
Rate change impact |  |  | (1.49 | ) |  |  | (0.66 | ) |  |  | (0.43 | )
US research and development credit |  |  | 1.22 |  |  |  | (3.96 | ) |  |  | (1.44 | )
Withholding tax |  |  | (1.02 | ) |  |  | 0.65 |  |  |  | 0.38 |
Return-to-provision adjustment |  |  | 0.14 |  |  |  | (3.56 | ) |  |  | — |
Other |  |  | (0.61 | ) |  |  | 0.62 |  |  |  | 0.07 |
Effective tax rate |  |  | 3.79 | % |  |  | 23.07 | % |  |  | 24.07 | %
Summary of Net Deferred Tax Assets | The primary components of temporary differences that give rise to the Company’s net deferred tax liability as of December 31, 2024 and 2023 consist of the following (in thousands):
|  | December 31, |
|  | 2024 |  |  | 2023 |
Deferred tax assets: |  |  |  |  |  |
Federal net operating loss carryforwards |  | $ | 3,219 |  |  | $ | — |
State net operating loss carryforwards |  |  | 7,952 |  |  |  | 5,101 |
Foreign net operating loss carryforwards |  |  | 7,613 |  |  |  | 5,653 |
Deferred revenues |  |  | 481 |  |  |  | 394 |
Disallowed interest |  |  | 21,815 |  |  |  | — |
Bad debt reserves |  |  | 476 |  |  |  | 276 |
Employee benefits |  |  | 5,565 |  |  |  | 1,237 |
Share-based compensation |  |  | 3,473 |  |  |  | 660 |
Accrued expenses and loss reserves |  |  | 5,569 |  |  |  | 2,460 |
Section 267 adjustment |  |  | 5,272 |  |  |  | 3,742 |
Other deferred tax assets |  |  | 895 |  |  |  | 653 |
Less: Valuation allowances |  |  | (5,635 | ) |  |  | (1,863 | )
Total deferred tax asset |  | $ | 56,695 |  |  | $ | 18,313 |
Deferred tax liabilities: |  |  |  |  |  |
Customer lists |  | $ | (191,705 | ) |  | $ | (54,777 | )
Trade names |  |  | (28,903 | ) |  |  | (16,420 | )
Prepaid assets |  |  | (3,351 | ) |  |  | — |
Goodwill |  |  | (17,615 | ) |  |  | (12,929 | )
Operating lease asset |  |  | (2,823 | ) |  |  | — |
Depreciable and other amortizable assets |  |  | (27,104 | ) |  |  | (251 | )
Other deferred liabilities |  |  | (2,250 | ) |  |  | (2,424 | )
Total deferred tax liability |  | $ | (273,751 | ) |  | $ | (86,801 | )
Net deferred tax liability |  | $ | (217,056 | ) |  | $ | (68,488 | )
Summary of Net Operating Loss Carryforwards | As of December 31, 2024 and 2023, the Company believes that federal, state, and foreign net operating loss carryforwards will be available to reduce future taxable income after taking into account various federal and foreign limitations on the utilization of such net operating loss carryforwards. The net operating loss carryforward balances as of December 31, 2024 and 2023, are as follows (in thousands):
|  | December 31, |
|  | 2024 |  |  | 2023 |
Federal |  | $ | 15,329 |  |  | $ | — |
State |  |  | 91,612 |  |  |  | 97,659 |
Foreign |  |  | 32,296 |  |  |  | 24,980 |
|  | $ | 139,237 |  |  | $ | 122,639 |
Summary of Income Tax Contingencies | The aggregate changes in the balance of our gross unrecognized tax benefits, excluding accrued interest, for the years ended December 31, 2024, 2023, and 2022, were as follows (in thousands):
|  | Year Ended December 31, |
|  | 2024 |  |  | 2023 |  |  | 2022 |
Balance, beginning of period |  | $ | 1,011 |  |  | $ | 972 |  |  | $ | 1,399 |
Increases for tax positions related to prior years |  |  | 139 |  |  |  | 39 |  |  |  | 28 |
Decreases for tax positions related to prior years |  |  | (446 | ) |  |  | — |  |  |  | (455 | )
Acquired tax positions related to prior years |  |  | 6,259 |  |  |  | — |  |  |  | — |
Effects of foreign currency |  |  | (80 | ) |  |  | — |  |  |  | — |
Balance, end of period |  | $ | 6,883 |  |  | $ | 1,011 |  |  | $ | 972 |

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