Current report filing

Taxes (Tables)

v3.22.2.2
Taxes (Tables)
12 Months Ended
Jan. 31, 2022
Taxes  
Summary of Income Tax Benefit (Provision)

Significant components of the income tax benefit (provision) consist of the following (in thousands):

Fiscal 2022

Fiscal 2021

Successor

Predecessor (SLH)

Predecessor (SLH)

Predecessor (PL)

Predecessor (PL)

From

From

From

From

June 12, 2021 to

February 1, 2021

August 28, 2020

February 1, 2020

Fiscal year ended

    

January 31, 2022

to June 11, 2021

  

January 31, 2021

  

to August 27, 2020

January 31, 2020

CURRENT:

 

  

  

  

 

  

 

  

Federal

$

(8,786)

$

16,632

$

172

$

353

$

1,063

State

(5,571)

4,288

706

(21)

363

Foreign

643

1,267

121

982

1,736

Current tax provision

(13,714)

22,187

999

1,314

3,162

DEFERRED:

Federal

12,853

(14,042)

(9,224)

9,264

939

State

5,601

(6,189)

(3,145)

3,297

(871)

Foreign

(9,044)

(5,477)

(3,107)

46,818

8,527

Deferred tax (benefit) / provision

 

9,410

(25,708)

(15,476)

 

59,379

 

8,595

Income tax (benefit) / provision

$

(4,304)

$

(3,521)

$

(14,477)

$

60,693

$

11,757

Summary of Income before Income Tax, Domestic and Foreign

The following table presents the U.S. and foreign components of (loss) income before income taxes (in thousands):

Fiscal 2022

Fiscal 2021

Successor

Predecessor (SLH)

Predecessor (SLH)

Predecessor (PL)

Predecessor (PL)

From

From

From

From

June 12, 2021 to

February 1, 2021

August 28, 2020

February 1, 2020

Fiscal year ended

    

January 31, 2022

to June 11, 2021

  

January 31, 2021

  

to August 27, 2020

January 31, 2020

Domestic

$

(12,247)

$

(21,838)

$

(75,389)

$

527,248

$

(65,175)

Foreign

(50,803)

(32,122)

(28,842)

2,463,403

(653,797)

(Loss) income before income taxes

$

(63,050)

$

(53,960)

$

(104,231)

$

2,990,651

$

(718,972)

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of the relevant statutory rate to the Company’s effective tax rate is as follows:

Fiscal 2022

Fiscal 2021

Successor

Predecessor (SLH)

Predecessor (SLH)

Predecessor (PL)

Predecessor (PL)

From

From

From

From

June 12, 2021 to

February 1, 2021

August 28, 2020

February 1, 2020

Fiscal year ended

    

January 31, 2022

to June 11, 2021

  

January 31, 2021

  

to August 27, 2020

January 31, 2020

Income tax provision (benefit) at United States (21.0%) / Luxembourg statutory rate (24.9%) / Irish Statutory rate (12.5%)

(21.0)%

(24.9)%

(24.9)%

12.5%

(12.5)%

Increase (decrease) in tax resulting from:

US State income taxes, net of federal benefit

(7.5)%

(2.5)%

(6.1)%

0.2%

(0.2)%

Foreign rate differential

5.8%

10.0%

6.5%

0.0%

(0.8)%

Global Intangible Low-Taxed Income

(1.1)%

0.0%

0.0%

0.0%

0.0%

Non-deductible expenses

0.3%

0.3%

0.5%

0.2%

1.4%

Non-deductible interest

(2.6)%

0.0%

0.0%

0.1%

0.0%

Non-deductible officer compensation

3.8%

0.0%

(0.3)%

0.0%

0.0%

Warrants

(5.8)%

0.0%

(0.7)%

0.0%

0.0%

Transaction costs

2.4%

0.1%

(8.5)%

0.0%

0.0%

Unrecognized tax benefit

7.6%

(2.4)%

(0.4)%

0.0%

0.3%

Change in valuation allowance

15.8%

7.0%

10.4%

(4.7)%

6.1%

Impairment of goodwill

0.0%

0.0%

0.0%

0.5%

5.6%

Reorganization and fresh start adjustments

0.0%

0.0%

9.8%

(7.5)%

0.0%

Return to provision adjustment

(3.5)%

5.5%

0.0%

0.7%

0.0%

Other

(1.0)%

0.4%

(0.2)%

0.0%

1.7%

Effective tax rate - provision (benefit)

(6.8)%

(6.5)%

(13.9)%

2.0%

1.6%

Schedule of Deferred Tax Assets and Liabilities

    

Successor

  

  

Predecessor (SLH)

January 31, 2022

January 31, 2021

ASSETS:

Net operating loss carryforwards

$

77,586

$

11,098

Deferred interest expense

 

58,237

 

35,741

Reserves and accruals

 

16,309

 

7,297

Lease liabilities

2,702

2,620

Tax credits

880

99

Transaction costs

6,049

19,609

Other intangibles

3,458

Gross deferred tax assets

161,763

79,922

Less: Valuation allowance

(144,717)

(57,562)

Net deferred tax assets

$

17,046

$

22,360

LIABILITIES:

Intangibles

$

(102,819)

$

(82,862)

Property and equipment, net

(5,823)

(1,834)

Accrued Interest

(4,007)

(4,522)

Right-of-use asset

(2,549)

(2,260)

Deferred revenue

(5,156)

Other

(1,243)

(4,299)

Gross deferred tax liabilities

(116,441)

(100,933)

Total net deferred tax liabilities, net

$

(99,395)

$

(78,573)

Schedule of Unrecognized Tax Benefits

Fiscal 2022

Fiscal 2021

Successor

Predecessor (SLH)

Predecessor (SLH)

Predecessor (PL)

Predecessor (PL)

From

From

From

From

June 12, 2021 to

February 1, 2021

August 28, 2020

February 1, 2020

Fiscal year ended

    

January 31, 2022

to June 11, 2021

  

January 31, 2021

  

to August 27, 2020

January 31, 2020

Unrecognized tax benefits, beginning balances

$

3,115

$

3,918

$

3,768

$

3,773

$

2,081

Increases for tax positions taken during the current period

6,161

Increases for tax positions taken during a prior period

5,975

37

35

1,987

Decreases for tax positions taken during a prior period

(788)

(40)

(295)

Other

(64)

(15)

452

Decreases resulting from the expiration of statute of limitations

(847)

(339)

Unrecognized tax benefits, ending balance

$

14,340

$

3,115

$

3,918

$

3,768

$

3,773