Company: TDY
Filing Date: 2025-10-24
Form Type: 10-Q
Source: 0001094285-25-000140
Chunk: 109

Company: TELEDYNE TECHNOLOGIES INC
Filing Date: 2025-10-24
Form: 10-Q
Item: Part I, Item 8
Chunk 109
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Non-operating Income and Expense

Interest and debt expense, net of interest income, was $47.5 million for the first nine months of 2025, compared with $44.2 million, with the increase related to higher outstanding borrowings on our line of credit during the period as compared to the first nine months of 2024.  Non-service retirement benefit income was $8.2 million for the first nine months of 2025 and 2024.  Other income and expense, net was expense of $7.7 million for the first nine months of 2025 compared with expense of $3.7 million for the first nine months of 2024.  The Other income and expense, net expense of $7.7 million for the first nine months of 2025 included a $10.5 million gain on debt extinguishment, partially offset by foreign currency exchange losses.  Other income and expense, net expense of $3.7 million for the first nine months of 2024 primarily related to foreign currency exchange losses. 

Income Tax

The first nine months of both the 2025 and 2024 income tax provision considers income, permanent items, tax credits and various statutory tax rates.  In both 2025 and 2024, the first nine months discrete impact is primarily related to tax on stock-based compensation.

Nine Months(dollars in millions)20252024Provision (benefit) for income taxes (a)$153.2$90.7Income (loss) before income taxes$773.3$712.3Effective tax rate19.8%12.7%

(a) The first nine months of 2025 includes net discrete income tax benefits of $17.0 million and the first nine months of 2024 includes net discrete income tax benefits of $67.4 million, respectively.

In July 2025, the “One Big Beautiful Bill Act” (the “Act”) was enacted into law.  The Act includes changes to U.S. tax law, including provisions to accelerate tax deductions for qualified property and research expense.  The Company has estimated the 2025 impact in current results which includes a cash tax reduction of approximately $30.0 million.  The Company will continue to model the elective decisions before the 2025 tax return is filed in 2026.  The 2026 impact is estimated to include a cash tax reduction of between $60.0 million and $70.0 million. 

Segment Results