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Income Taxes (Tables)

12 Months Ended

Feb. 28, 2022

Income Tax Disclosure [Abstract]

Schedule of components of income before taxes

Our components of income before income tax expense are as follows:

			Fiscal Years Ended Last Day of February,
(in thousands)			2022						2021						2020
U.S.			$	63,653					$	48,693					$	40,146
Non-U.S.			196,313						220,737						125,794
Total			$	259,966					$	269,430					$	165,940

Schedule of components of income tax expense (benefit)

Our components of income tax expense (benefit) are as follows:

			Fiscal Years Ended Last Day of February,
(in thousands)			2022						2021						2020
Current:
U.S. federal			$	20,907					$	4,340					$	12,551
State			6,283						5,892						4,181
Non-U.S.			17,883						9,652						2,571
			45,073						19,884						19,303
Deferred:
U.S. federal			(5,269)						(3,828)						(4,376)
State			(1,766)						(1,795)						(413)
Non-U.S.			(1,836)						1,223						(907)
			(8,871)						(4,400)						(5,696)
Total			$	36,202					$	15,484					$	13,607

Schedule of effective income tax rate reconciliation

An income tax rate reconciliation of these differences are as follows:

			Fiscal Years Ended Last Day of February,
			2022						2021						2020
Effective income tax rate at the U.S. statutory rate			21.0		%				21.0		%				21.0		%
Impact of U.S. state income taxes			1.4		%				0.6		%				1.6		%
Effect of statutory tax rate in Macau			0.1		%				(0.7)		%				(13.6)		%
Effect of statutory tax rate in Barbados			(11.0)		%				(15.4)		%				(5.5)		%
Effect of statutory tax rate in Switzerland			(1.2)		%				(1.5)		%				(0.4)		%
Effect of income from other non-U.S. operations subject to varying rates			1.2		%				1.1		%				2.3		%
Effect of foreign exchange fluctuations			0.5		%				(0.1)		%				0.7		%
Effect of asset impairment charges			—		%				0.3		%				2.4		%
Effect of U.S. tax reform			—		%				(3.5)		%				—		%
Effect of uncertain tax positions			0.6		%				3.2		%				(1.7)		%
Effect of non-deductible executive compensation			1.1		%				1.0		%				1.4		%
Effect of base erosion and anti-abuse tax			—		%				(0.6)		%				—		%
Other items			0.2		%				0.3		%				—		%
Effective income tax rate			13.9		%				5.7		%				8.2		%

Schedule of components of deferred tax assets and liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities are as follows:

			Fiscal Years Ended Last Day of February,
(in thousands)			2022						2021
Deferred tax assets, gross:
Operating loss carryforwards			$	13,195					$	14,785
Accounts receivable			11,144						8,905
Inventories			19,619						12,432
Operating lease liabilities			11,494						10,388
Accrued expenses and other			10,364						10,731
Total gross deferred tax assets			65,816						57,241
Valuation allowance			(11,673)						(15,021)
Deferred tax liabilities:
Operating lease assets			(8,635)						(7,500)
Depreciation			(10,589)						(11,828)
Amortization			(52,873)						(6,879)
Total deferred tax (liabilities) assets, net			$	(17,954)					$	16,013

Schedule of operating loss carryforwards

The composition of our operating loss carryforwards at the end of fiscal 2022 is as follows:

						February 28, 2022
(in thousands)			Tax Year  Expiration Date Range			Deferred Tax Assets						Operating Loss Carryforward
U.S. federal operating loss carryforwards			Indefinite			$	2,936					$	13,979
U.S. state operating loss carryforwards			2032-2042			732						18,504
Non-U.S. operating loss carryforwards with definite carryover periods			2022-2039			4,483						18,072
Non-U.S. operating loss carryforwards with indefinite carryover periods			Indefinite			5,044						15,921
Subtotal						13,195						$	66,476
Less portion of valuation allowance established for operating loss carryforwards						(9,522)
Total						$	3,673

Schedule of unrecognized tax benefits

During fiscal 2022 and 2021, changes in the total amount of unrecognized tax benefits (excluding interest and penalties) were as follows:

			Fiscal Years Ended Last Day of February,
(in thousands)			2022						2021
Total unrecognized tax benefits, beginning balance			$	5,436					$	113
Tax positions taken during the current period			949						1,542
Changes in tax positions taken during a prior period			1,409						4,280
Impact of foreign currency re-measurement			50						—
Settlements			(2,221)						(499)
Total unrecognized tax benefits, ending balance			5,623						5,436
Less current unrecognized tax benefits			—						—
Non-current unrecognized tax benefits			$	5,623					$	5,436

Schedule of material tax years under examination or still subject to examination by major tax jurisdictions

As of February 28, 2022, tax years under examination or still subject to examination by material tax jurisdictions are as follows:

Jurisdiction						Tax Years Under Examination						Open Tax Years
United Kingdom						- None -						2021			—			2022
U.S.						2017-2018						2017			—			2022
Switzerland						- None -						2018			—			2022
Hong Kong						2014-2016						2014			—			2022
China						2009-2018						2009			—			2022

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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.

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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.

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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.

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Tabular disclosure of income before income tax between domestic and foreign jurisdictions.

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