Net Income Per Share and Weighted Average Shares

6 Months Ended

Jan. 28, 2022

Net Income Per Share and Weighted Average Shares [Abstract]

Net Income Per Share and Weighted Average Shares

9. Net Income Per Share and Weighted Average Shares

Basic consolidated net income per share is computed by dividing consolidated net income available to common shareholders by the weighted average number of shares of common stock outstanding for the reporting period.  Diluted consolidated net income per share reflects the potential dilution that could occur if securities, options or other contracts to issue shares of common stock were exercised or converted into shares of common stock and is based upon the weighted average number of shares of common stock and common equivalent shares outstanding during the reporting period. Common equivalent shares related to nonvested stock awards and units issued by the Company are calculated using the treasury stock method.  The outstanding nonvested stock awards and units issued by the Company represent the only dilutive effects on diluted consolidated net income per share. The Company’s convertible senior notes and related warrants are calculated using the net share settlement option under the if converted method.  The convertible senior notes have been excluded from the computation of diluted earnings per share since the conversion price of the convertible senior notes exceeded the average market price of the Company’s common stock.  Warrants were excluded from the computation of diluted earnings per share since the warrants’ strike price was greater than the average market price of the Company’s common stock during the period.   See Note 4 for additional information regarding the Company’s convertible senior notes.

The following table reconciles the components of diluted earnings per share computations:

	Quarter Ended				Six Months Ended
	January 28, 2022		January 29, 2021		January 28, 2022		January 29, 2021
Net income per share numerator	$	37,624	$	14,000	$	71,000	$	184,680
Net income per share denominator:
Weighted average shares		23,393,398		23,723,395		23,450,379		23,715,573
Add potential dilution:
Nonvested stock awards and units		69,173		61,979		77,848		62,729
Diluted weighted average shares		23,462,571		23,785,374		23,528,227		23,778,302