Note K - Shareholders' Equity

6 Months Ended

Dec. 31, 2021

Notes to Financial Statements

Stockholders' Equity Note Disclosure [Text Block]

K. Shareholders’ Equity

The Company, from time to time, makes open market purchases of its common stock under authorizations given to it by the Board of Directors, of which 315.0 shares as of December 31, 2021 remain authorized for purchase.  The Company did not make any open market purchases of its shares during the quarters ended December 31, 2021 and December 25, 2020.

The following is a reconciliation of the Company’s equity balances for the first two fiscal quarters of 2022 and 2021:

	Twin Disc, Inc. Shareholders’ Equity
							Accumulated
							Other						Non-
	Common			Retained			Comprehensive			Treasury			Controlling			Total
	Stock			Earnings			Income (Loss)			Stock			Interest			Equity
Balance, June 30, 2021	$	40,972		$	126,936		$	(22,615	)	$	(15,083	)	$	450		$	130,660
Net (loss) income					1,920									60			1,980
Translation adjustments								(2,014	)					76			(1,938	)
Benefit plan adjustments, net of tax								384									384
Unrealized gain on cash flow hedge, net of tax								204									204
Compensation expense		625															625
Shares (acquired) issued, net		(432	)								141						(291	)
Balance, September 24, 2021		41,165			128,856			(24,041	)		(14,942	)		586			131,624
Net (loss) income					(3,836	)								86			(3,750	)
Translation adjustments								(1,676	)					(25	)		(1,701	)
Benefit plan adjustments, net of tax								623									623
Unrealized gain on cash flow hedge, net of tax								735									735
Compensation expense		595															595
Shares (acquired) issued, net		(169	)								(26	)					(195	)
Balance, December 31, 2021	$	41,591		$	125,020		$	(24,359	)	$	(14,968	)	$	647		$	127,931

	Twin Disc, Inc. Shareholders’ Equity
							Accumulated
							Other						Non-
	Common			Retained			Comprehensive			Treasury			Controlling		Total
	Stock			Earnings			Income (Loss)			Stock			Interest		Equity
Balance, June 30, 2020	$	42,756		$	156,655		$	(41,226	)	$	(18,796	)	$	569	$	139,958
Net (loss) income					(3,979	)								42		(3,937	)
Translation adjustments								3,600						12		3,612
Benefit plan adjustments, net of tax								553								553
Unrealized gain on cash flow hedge, net of tax								75								75
Compensation expense		518														518
Shares (acquired) issued, net		(2,460	)								2,236					(224	)
Balance, September 25, 2020		40,814			152,676			(36,998	)		(16,560	)		623		140,555
Net (loss) income					(4,313	)								33		(4,280	)
Translation adjustments								4,887						12		4,899
Benefit plan adjustments, net of tax								555								555
Unrealized gain on cash flow hedge, net of tax								104								104
Compensation expense		562														562
Shares (acquired) issued, net		(1,458	)								1,458					-
Balance, December 25, 2020	$	39,918		$	148,363		$	(31,452	)	$	(15,102	)	$	668	$	142,395

Reconciliations for the changes in accumulated other comprehensive income (loss), net of tax, by component for the quarters ended December 31, 2021 and December 25, 2020 are as follows:

	Translation			Benefit Plan			Cash Flow			Net Investment
	Adjustment			Adjustment			Hedges			Hedges
Balance at June 30, 2021	$	9,192		$	(31,463	)	$	(678	)	$	334
Translation adjustment during the quarter		(2,014	)		-			-			-
Amounts reclassified from accumulated other comprehensive income		-			384			68			136
Net current period other comprehensive (loss) income		(2,014	)		384			68			136
Balance at September 24, 2021	$	7,178		$	(31,079	)	$	(610	)	$	470
Translation adjustment during the quarter		(1,676	)		-			-			-
Amounts reclassified from accumulated other comprehensive income		-			623			232			503
Net current period other comprehensive (loss) income		(1,676	)		623			232			503
Balance at December 31, 2021		5,502			(30,456	)		(378	)		973

	Translation		Benefit Plan			Cash Flow
	Adjustment		Adjustment			Hedges
Balance at June 30, 2020	$	3,454	$	(43,576	)	$	(1,104	)
Translation adjustment during the quarter		3,600		-			-
Amounts reclassified from accumulated other comprehensive income		-		553			75
Net current period other comprehensive income		3,600		553			75
Balance at September 25, 2020		7,054		(43,023	)		(1,029	)
Translation adjustment during the quarter		4,887		-			-
Amounts reclassified from accumulated other comprehensive income		-		555			104
Net current period other comprehensive income		4,887		555			104
Balance at December 25, 2020	$	11,941	$	(42,468	)	$	(925	)

Reconciliation for the changes in benefit plan adjustments, net of tax for the quarter ended December 31, 2021 are as follows:

	Amount Reclassified				Amount Reclassified
	Quarter Ended				Two Quarters Ended
	December 31, 2021				December 31, 2021
Changes in benefit plan items
Actuarial losses	$	572		(a)	$	1,137		(a)
Transition asset and prior service benefit		(64	)	(a)		(128	)	(a)
Total amortization		508				1,009
Income tax (benefit) expense		(115	)			2
Total reclassification net of tax	$	623			$	1,007

Reconciliation for the changes in benefit plan adjustments, net of tax for the quarter ended December 25, 2020 is as follows:

	Amount Reclassified				Amount Reclassified
	Quarter Ended				Two Quarters Ended
	December 25, 2020				December 25, 2020
Changes in benefit plan items
Actuarial losses	$	796		(a)	$	1,588		(a)
Transition asset and prior service benefit		(64	)	(a)		(127	)	(a)
Total amortization		732				1,461
Income tax expense		177				353
Total reclassification net of tax	$	555			$	1,108

(a) These accumulated other comprehensive income components are included in the computation of net periodic pension cost (see Note G, "Pension and Other Postretirement Benefit Plans" for further details).