Company: PTC
Filing Date: 2025-11-21
Form Type: 10-K
Source: 0001193125-25-291326
Chunk: 86

Company: PTC INC.
Filing Date: 2025-11-21
Form: 10-K
Item: Item 6
Chunk 86
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 recorded to the tax provision. In 2025, 2024 and 2023, net windfall tax benefits of $7.4 million, $10.2 million and $7.8 million were recorded to the tax provision. Prior to the passage of the U.S. Tax Cuts and Jobs Act in December of 2017 (the Tax Act), we asserted that substantially all of the undistributed earnings of our foreign subsidiaries were considered indefinitely reinvested and accordingly, no deferred taxes were provided. Pursuant to the provisions of the U.S. Tax Act, these earnings were subjected to U.S. federal taxation via a one-time transition tax, and there is therefore no longer a material cumulative basis difference associated with the undistributed earnings. We maintain our assertion of our intention to permanently reinvest these earnings outside the United States unless repatriation can be done substantially tax-free, with the exception of our Taiwan subsidiary. If we decide to repatriate any additional non-U.S. earnings in the future, we may be required to establish a deferred tax liability on such earnings. The amount of unrecognized deferred tax liability on the undistributed earnings would not be material.On July 4, 2025, the “One Big Beautiful Bill Act” (the “Act”) was enacted into law. The Act includes changes to U.S. tax law that will be applicable to us beginning in 2026. These changes include provisions allowing accelerated tax deductions for qualified property and research expenditures. While there is no material impact on our financial statements for the year ended September 30, 2025, we are in the process of evaluating the prospective impact of the Act to our consolidated financial statements and cash flow. 

F-27

8. DebtAs of September 30, 2025 and 2024, we had the following short- and long-term debt obligations: 

         (in thousands)
          
         September 30,

         2025

         2024

         4.000% Senior notes due 2028
          
         $
         500,000

         $
         500,000

         3.625% Senior notes due 2025

         —

         500,000

         Credit facility revolver line(1)(2)

         231,250

         262,000

         Credit facility term loan(1)(2)

         468,750

         490,625

         Total debt

         1,200,000