Net Income per Share

9 Months Ended

Jun. 03, 2023

Net income per share is computed by dividing net income by the weighted-average number of shares of the Company’s Class A Common Stock, par value $0.001 per share (“Class A Common Stock”), and the Company’s Class B Common Stock, par value $0.001 per share (“Class B Common Stock” and, together with Class A Common Stock, “Common Stock”), outstanding during the period. Diluted net income per share is computed by dividing net income by the weighted-average number of shares of Common Stock outstanding during the period, including potentially dilutive shares of Common Stock equivalents outstanding during the period. The dilutive effect of potential shares of Common Stock is determined using the treasury stock method. The following table sets forth the computation of basic and diluted net income per common share under the treasury stock method for the thirteen- and thirty-nine-week periods ended June 3, 2023 and May 28, 2022.


	Thirteen Weeks Ended				Thirty-Nine Weeks Ended
	June 3, 2023		May 28, 2022		June 3, 2023		May 28, 2022
Numerator:
Net income attributable to MSC Industrial as reported	$	95,180	$	99,657	$	255,634	$	235,655
Denominator:
Weighted-average shares outstanding for basic net income per share	55,963		55,914		55,911		55,748
Effect of dilutive securities	193		192		210		271
Weighted-average shares outstanding for diluted net income per share	56,156		56,106		56,121		56,019
Net income per share:
Basic	$	1.70	$	1.78	$	4.57	$	4.23
Diluted	$	1.69	$	1.78	$	4.56	$	4.21

Potentially dilutive securities	—		330		204		363

Potentially dilutive securities attributable to outstanding stock options and restricted stock units are excluded from the calculation of diluted net income per share when the combined exercise price and average unamortized fair value are greater than the average market price of Class A Common Stock, and, therefore, their inclusion would be anti-dilutive.