Company: CVGI
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001628280-25-051174
Chunk: 75

Company: Commercial Vehicle Group, Inc.
Filing Date: 2025-11-10
Form: 10-Q
Item: Item 8
Chunk 75
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 value of lease liabilities$34,392 $220 $34,612 

8. Income Taxes

We recorded a $0.7 million tax provision, or (11)% effective tax rate for the three months ended September 30, 2025, and $4.5 million tax provision, or (47)% effective tax rate for the nine months ended September 30, 2025, compared to a $1.5 million tax benefit, or 63% effective tax rate for the three months ended September 30, 2024, and 1.1 million tax benefit, or 60% effective tax rate for the nine months ended September 30, 2024. The effective tax rate is impacted by the mix of the Company's profitable foreign operations and losses in the US while maintaining its full valuation allowance position on U.S. deferred tax assets. Income tax expense is based on an estimated annual effective tax rate, which requires management to make its best estimate of annual pretax income or loss. During the year, management regularly updates forecasted annual pretax results for the various countries in which the Company operates based on changes in factors such as prices, shipments, product mix, material inflation and manufacturing operations. To the extent that actual 2025 pretax results for U.S. and foreign income or loss vary from estimates, the actual income tax expense recognized in 2025 could be different from the forecasted amount used to estimate the income tax expense for the three and nine months ended September 30, 2025. For the nine months ended September 30, 2025 and 2024, cash paid for taxes, net of refunds received, were $2.6 million and $6.4 million, respectively.

9. Pension and Other Post-Retirement Benefit Plans

The components of net periodic (benefit) cost related to pension and other post-retirement benefit plans is as follows: Non-U.S. Pension PlanThree Months Ended September 30, 20252024Interest cost$403 $366 Expected return on plan assets(362)(334)Amortization of prior service cost13 13 Recognized actuarial loss242 211 Net cost$296 $256  Non-U.S. Pension PlanNine Months Ended September 30, 20252024Interest cost$1,192 $1,062 Expected return on plan assets(1,070)(966)Amortization of prior service cost39 39 Recognized