Stock-Based Compensation and Stock Options (Tables)

9 Months Ended

Dec. 31, 2021

Share-based Payment Arrangement [Abstract]

Fair Value of Options Granted

The following assumptions were used to estimate the fair value of options granted during the three months ended December 31, 2021 and 2020 using the Black-Scholes option-pricing model:

	Three Months Ended
	December 31, 2021	December 31, 2020
Risk-free interest rate	1.27%	0.33%
Expected volatility	36%	34%
Expected dividend yield	0.00%	0.00%
Expected weighted average life of option in years	4.4 years	4.5 years

Stock Compensation Expense for Time Based Options and Performance Based Options

The table below shows the amounts recognized in the unaudited consolidated financial statements for stock compensation expense for time-based options and performance-based options during the three and nine months ended December 31, 2021 and 2020, respectively.

	Three Months Ended
	December 31, 2021			December 31, 2020
Cost of revenues	$	487,000		$	516,000
General and administrative		696,000			735,000
Total cost of stock-based compensation included in    income before income tax provision		1,183,000			1,251,000
Amount of income tax benefit recognized		(256,000	)		(231,000	)
Amount charged against net income	$	927,000		$	1,020,000
Effect on basic earnings per share	$	(0.05	)	$	(0.06	)
Effect on diluted earnings per share	$	(0.05	)	$	(0.06	)

	Nine Months Ended
	December 31, 2021			December 31, 2020
Cost of revenues	$	1,539,000		$	1,510,000
General and administrative		2,345,000			1,974,000
Total cost of stock-based compensation included in    income before income tax provision		3,884,000			3,484,000
Amount of income tax benefit recognized		(765,000	)		(724,000	)
Amount charged against net income	$	3,119,000		$	2,760,000
Effect on basic earnings per share	$	(0.17	)	$	(0.15	)
Effect on diluted earnings per share	$	(0.17	)	$	(0.15	)

Stock Options

The following table summarizes information for all stock options for the three and nine months ended December 31, 2021 and 2020:

	Three Months Ended December 31, 2021					Three Months Ended December 31, 2020
	Shares			Weighted Average Exercise Price		Shares			Weighted Average Exercise Price
Options outstanding, beginning		778,982		$	72.17		975,917		$	57.97
Options granted		50,200			197.16		122,750			87.69
Options exercised		(25,917	)		62.78		(62,997	)		44.83
Options cancelled/forfeited		(6,407	)		81.62		(2,234	)		59.31
Options outstanding, ending		796,858		$	80.27		1,033,436		$	62.30

	Nine Months Ended December 31, 2021					Nine Months Ended December 31, 2020
	Shares			Weighted Average Exercise Price		Shares			Weighted Average Exercise Price
Options outstanding, beginning		937,158		$	64.28		1,029,103		$	54.87
Options granted		110,450			163.54		209,575			78.52
Options exercised		(212,588	)		53.27		(187,815	)		40.13
Options cancelled/forfeited		(38,162	)		78.87		(17,427	)		57.37
Options outstanding, ending		796,858		$	80.27		1,033,436		$	62.30

Stock Options Outstanding and Exercisable

The following table summarizes the status of stock options outstanding and exercisable at December 31, 2021:

Range of Exercise Price	Number of Outstanding Options		Weighted Average Remaining Contractual Life		Outstanding Options – Weighted Average Exercise Price		Exercisable Options – Number of Exercisable Options		Exercisable Options – Weighted Average Exercise Price
$22.07 to $57.35		232,852		2.58	$	44.60		192,721	$	42.75
$57.36 to $77.93		227,247		2.27		68.91		85,914		65.74
$77.94 to $88.22		205,159		4.24		86.24		36,754		85.51
$88.23 to $197.16		131,600		5.06		153.70		—		—
Total		796,858		3.33	$	80.27		315,389	$	53.99

Outstanding Options

The following table summarizes the status of all outstanding options at December 31, 2021, and changes during the three months then ended:

	Number of Options			Weighted Average Exercise Price Per Share		Weighted Average Remaining Contractual Life (Years)		Aggregate Intrinsic Value as of December 31, 2021
Options outstanding at October 1, 2021		778,982		$	72.17
Granted		50,200			197.16
Exercised		(25,917	)		62.78
Cancelled – forfeited		(6,328	)		81.70
Cancelled – expired		(79	)		75.32
Ending outstanding		796,858		$	80.27		3.33	$	101,782,689
Ending vested and expected to vest		670,531		$	77.62		3.35	$	99,764,662
Ending exercisable at December 31, 2021		315,389		$	53.99		2.59	$	48,571,633