Earnings Per Share

9 Months Ended

Apr. 30, 2022

Earnings per share attributable to IDT Corporation common stockholders:

Earnings Per Share

Note 15—Earnings Per Share

Basic earnings per share is computed by dividing net income attributable to all classes of common stockholders of the Company by the weighted average number of shares of all classes of common stock outstanding during the applicable period. Diluted earnings per share is computed in the same manner as basic earnings per share, except that the number of shares is increased to include restricted stock still subject to risk of forfeiture and to assume exercise of potentially dilutive stock options using the treasury stock method, unless the effect of such increase is anti-dilutive.

The weighted-average number of shares used in the calculation of basic and diluted earnings per share attributable to the Company’s common stockholders consists of the following:

	Three Months Ended April 30,				Nine Months Ended April 30,
	2022		2021		2022		2021
	(in thousands)
Basic weighted-average number of shares		25,901		25,530		25,706		25,475
Effect of dilutive securities:
Stock options		301		295		575		101
Non-vested restricted Class B common stock		3		311		174		327
Diluted weighted-average number of shares		26,205		26,136		26,455		25,903

The following shares were excluded from the calculation of diluted earnings per share:

	Three Months Ended April 30,				Nine Months Ended April 30,
	2022		2021		2022		2021
	(in thousands)
Stock options		—		—		—		713
Non-vested restricted Class B common stock		—		—		—		—
Shares excluded from the calculation of diluted earnings per share		—		—		—		713

Stock options with an exercise price that was greater than the average market price of the Company’s common stock in the nine months ended April 30, 2021 were excluded from the calculation of diluted earnings per share.