Earnings Per Share

6 Months Ended

Dec. 31, 2021

Earnings Per Share [Abstract]

Earnings Per Share

Note (4) – Earnings Per Share: The Company computes earnings per share using the two-class method. The two-class method of computing earnings per share is an earnings allocation formula that determines earnings per share for common stock and any participating securities according to dividends declared (whether paid or unpaid) and participation rights in undistributed earnings. Shares of the Company’s common stock subject to unvested restricted stock awards and restricted stock units are considered participating securities because they contain a non-forfeitable right to cash dividends (in the case of restricted stock awards) or dividend equivalents (in the case of restricted stock units) paid prior to vesting or forfeiture, if any, irrespective of whether the awards or units ultimately vest. Basic and diluted earnings per share for the six and three months ended December 31, 2021 and 2020 are computed as follows (in thousands, except per share data):

	For the six months ended December 31,				For the three months ended December 31,
	2021 (Unaudited)		2020 (Unaudited)		2021 (Unaudited)		2020 (Unaudited)
Net income	$	2,547	$	979	$	528	$	461
Less: distributed and undistributed income allocated to unvested restricted common stock		249		89		52		42
Net income allocated to EVI Industries, Inc. shareholders	$	2,298	$	890	$	476	$	419
Weighted average shares outstanding used in basic earnings per share		12,281		12,027		12,283		12,120
Dilutive common share equivalents		432		400		485		454
Weighted average shares outstanding used in diluted earnings per share		12,713		12,427		12,768		12,574
Basic earnings per share	$	0.19	$	0.07	$	0.04	$	0.03
Diluted earnings per share	$	0.18	$	0.07	$	0.04	$	0.03

12

EVI Industries, Inc. and Subsidiaries

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

December 31, 2021

(Unaudited)

At December 31, 2021 and 2020, other than 1,334,034 shares and 1,219,973 shares, respectively, of common stock subject to unvested restricted stock awards or restricted stock units, there were no potentially dilutive securities outstanding.