XML 58 R41.htm IDEA: XBRL DOCUMENT v3.19.2
EARNINGS (LOSS) PER SHARE (Tables)
12 Months Ended
Jun. 30, 2019
Earnings Per Share [Abstract]  
Reconciliation of Common Shares Used for Earnings (Loss) Per Share
The following table provides a reconciliation of the numerator and denominator used for basic and diluted earnings (loss) per share (in thousands, except per share amounts):
 
Year Ended June 30,
 
2019
2019
2018
2017
 
As presented
Previous revenue standard (a)
Numerator for basic earnings (loss) per share:
 
 
 
 
Net income (loss) from continuing operations attributable to stockholders (b)
$
15,706

$
(13,394
)
$
191,040

$
76,300

Net loss from discontinued operations attributable to stockholders
(24,650
)
(24,640
)
(158
)
(51
)
Net (loss) income attributable to stockholders
$
(8,944
)
$
(38,034
)
$
190,882

$
76,249

 
 
 
 
 
Numerator for diluted earnings (loss) per share:
 
 
 
 
Net income (loss) from continuing operations attributable to stockholders (b)
$
15,706

$
(13,394
)
$
191,040

$
76,300

Adjustment of redeemable limited partners' capital to redemption amount


(157,581
)

Net income from continuing operations attributable to non-controlling interest in Premier LP


224,548


Net income (loss) from continuing operations
15,706

(13,394
)
258,007

76,300

Tax effect on Premier, Inc. net income (c)


(70,257
)

Adjusted net income (loss) from continuing operations
$
15,706

$
(13,394
)
$
187,750

$
76,300

 
 
 
 
 
Net loss from discontinued operations attributable to stockholders
$
(24,650
)
$
(24,640
)
$
(158
)
$
(51
)
Net loss from discontinued operations attributable to non-controlling interest in Premier LP


(279
)
(76
)
Adjusted net loss from discontinued operations
$
(24,650
)
$
(24,640
)
$
(437
)
$
(127
)
 
 
 
 
 
Adjusted net (loss) income
$
(8,944
)
$
(38,034
)
$
187,313

$
76,173

 
 
 
 
 
 
Year Ended June 30,
 
2019
2019
2018
2017
 
As presented
Previous revenue standard (a)
Denominator for basic earnings (loss) per share:
 
 
 
 
Weighted average shares (d)
59,188

59,188

53,518

49,654

 
 
 
 
 
Denominator for diluted earnings (loss) per share:
 
 
 
 
Weighted average shares (d)
59,188

59,188

53,518

49,654

Effect of dilutive securities: (e)
 
 
 
 
Stock options
577


275

286

Restricted stock
297


295

215

Performance share awards
207


252

219

Class B shares outstanding


83,000


Weighted average shares and assumed conversions
60,269

59,188

137,340

50,374

 
 
 
 
 
Basic earnings (loss) per share:
 
 
 
 
Basic earnings (loss) per share from continuing operations
$
0.27

$
(0.22
)
$
3.57

$
1.54

Basic loss per share from discontinued operations
(0.42
)
(0.42
)
0.00

0.00

Basic (loss) earnings per share attributable to stockholders
$
(0.15
)
$
(0.64
)
$
3.57

$
1.54

 
 
 
 
 
Diluted earnings (loss) per share:
 
 
 
 
Diluted earnings (loss) per share from continuing operations
$
0.27

$
(0.22
)
$
1.37

$
1.51

Diluted loss per share from discontinued operations
(0.42
)
(0.42
)
(0.01
)
0.00

Diluted (loss) earnings per share attributable to stockholders
$
(0.15
)
$
(0.64
)
$
1.36

$
1.51


(a)
The Company adopted Topic 606 effective July 1, 2018. Comparative results are presented under Topic 605. Refer to Note 2 - Significant Accounting Policies for more information.
(b)
Net income (loss) from continuing operations attributable to stockholders was calculated as follows (in thousands):
 
Year Ended June 30,
 
2019
2019
2018
2017
 
As presented
Previous revenue standard
Net income from continuing operations
$
334,677

$
299,195

$
258,007

$
449,604

Net income from continuing operations attributable to non-controlling interest in Premier LP
(200,907
)
(178,480
)
(224,548
)
(336,128
)
Adjustment of redeemable limited partners' capital to redemption amount
(118,064
)
(134,109
)
157,581

(37,176
)
Net income (loss) from continuing operations attributable to stockholders
$
15,706

$
(13,394
)
$
191,040

$
76,300

(c)
Represents income tax expense related to Premier, Inc. retaining the portion of net income attributable to income from non-controlling interest in Premier, LP for the purpose of diluted earnings (loss) per share.
(d)
Weighted average number of common shares used for basic earnings per share excludes weighted average shares of non-vested stock options, non-vested restricted stock, non-vested performance share awards and Class B shares outstanding for the years ended June 30, 2019, 2018 and 2017.
(e)
For the year ended June 30, 2019, the effect of 70.8 million Class B common units exchangeable for Class A common shares and 0.4 million stock options were excluded from diluted weighted average shares outstanding as they had an anti-dilutive effect. For the year ended June 30, 2018, the effect of 1.6 million stock options were excluded from diluted weighted average shares outstanding as they had an anti-dilutive effect. For the year ended June 30, 2017, the effect of 90.8 million Class B common units exchangeable for Class A common shares and 1.3 million stock options were excluded from diluted weighted average shares outstanding as they had an anti-dilutive effect.
Schedule of Exchange Agreement
The following table presents certain information regarding the exchange of Class B common units and associated Class B common stock for Premier's Class A common stock and/or cash in connection with the quarterly exchanges pursuant to the terms of the Exchange Agreement, including activity related to the Class A and Class B common units and Class A and Class B common stock through the date of the applicable quarterly exchange:
Quarterly Exchange by Member Owners
Class B Common Shares Retired Upon Exchange (a)
Class B Common Shares Outstanding After Exchange (a)
Class A Common Shares Outstanding After Exchange (b)
Percentage of Combined Voting Power Class B/Class A Common Stock
July 31, 2018
816,468

79,519,233

53,256,897

60%/40%
October 31, 2018
9,807,651

69,601,752

63,734,585

53%/47%
January 31, 2019
3,705,459

65,778,688

63,841,210

51%/49%
April 30, 2019
435,188

64,548,044

61,826,763

51%/49%
July 31, 2019 (c)
1,310,771

62,767,860

63,274,182

49.8%/50.2%
(a)
The number of Class B common shares retired or outstanding are equivalent to the number of Class B common units retired upon exchange or outstanding after the exchange, as applicable.
(b)
The number of Class A common shares outstanding after exchange also includes activity related to the Company's share repurchase program (see Note 12 - Stockholders' Deficit), equity incentive plan (see Note 14 - Stock-Based Compensation) and departed member owners (see Note 11 - Redeemable Limited Partners' Capital).
(c)
As the quarterly exchange occurred on July 31, 2019, the impact of the exchange is not reflected in the consolidated financial statements for the year ended June 30, 2019. The Company utilized 1.3 million treasury shares to facilitate this exchange, and as a result had 1.1 million Class A common shares held in treasury as of July 31, 2019, after the exchange.