Company: HLI
Filing Date: 2025-05-15
Form Type: 10-K
Source: 0001302215-25-000024
Chunk: 123

Company: HOULIHAN LOKEY, INC.
Filing Date: 2025-05-15
Form: 10-K
Item: Item 9
Chunk 123
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 for March 31, 2025 and 2024 of $11,051 and $10,072 respectively. The change in the total valuation allowance was an increase of $979 and $9,139 during the years ended March 31, 2025 and March 31, 2024, respectively.We continue to expect that the remaining balance of our undistributed foreign earnings will be indefinitely reinvested. If we determine that all or a portion of such foreign earnings are no longer indefinitely reinvested, we may be subject to additional foreign withholding taxes and U.S. state income taxes.  Determination of the amount of unrecognized deferred tax liability on these unremitted earnings is not practicable.As of March 31, 2025 and March 31, 2024, the Company had recorded liabilities for interest and penalties related to uncertain tax positions in the amounts of $0 and $576, respectively. Unrecognized tax positions totaled $329 and $15,800 as of March 31, 2025 and March 31, 2024, respectively. If the income tax impacts from these tax positions are ultimately realized, such realization would affect the income tax provision and effective tax rate. The Company expects $201 of the unrecognized tax position to be recognized within the next 12 months.

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Table of ContentsHOULIHAN LOKEY, INC. AND SUBSIDIARIESNOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)(In thousands, except share data or as otherwise stated)

A reconciliation of the unrecognized tax position as of March 31, 2025 and March 31, 2024 is as follows:March 31, 2025March 31, 2024Unrecognized tax position at the beginning of the year$15,800 $14,825 Increase related to prior year tax positions— 2,233 Decrease related to prior year tax positions(15,471)(1,258)Unrecognized tax position at the end of the year$329 $15,800 The Company files consolidated federal income tax returns, as well as consolidated and separate returns in state and local jurisdictions. As of March 31, 2025, all of the federal income tax returns filed since 2022 by the Company are still subject to adjustment upon audit. The Company also files combined and separate income tax returns in many states, which are also open to adjustment.

Note 13 — Earnings Per Share 

The calculations of basic and diluted