Stock-Based Compensation and Stock Options (Tables)

9 Months Ended

Dec. 31, 2022

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, 2022 and 2021 using the Black-Scholes option-pricing model:

	Three Months Ended
	December 31, 2022	December 31, 2021
Risk-free interest rate	4.36%	1.27%
Expected volatility	36%	36%
Expected dividend yield	0.00%	0.00%
Expected weighted average life of option in years	4.3 years	4.4 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, 2022 and 2021, respectively.

	Three Months Ended
	December 31, 2022			December 31, 2021
Cost of revenues	$	670,000		$	487,000
General and administrative		1,028,000			696,000
Total cost of stock-based compensation included in    income before income tax provision		1,698,000			1,183,000
Amount of income tax benefit recognized		(410,000	)		(256,000	)
Amount charged against net income	$	1,288,000		$	927,000
Effect on basic earnings per share	$	(0.07	)	$	(0.05	)
Effect on diluted earnings per share	$	(0.07	)	$	(0.05	)

	Nine Months Ended
	December 31, 2022			December 31, 2021
Cost of revenues	$	1,879,000		$	1,539,000
General and administrative		2,148,000			2,345,000
Total cost of stock-based compensation included in    income before income tax provision		4,027,000			3,884,000
Amount of income tax benefit recognized		(895,000	)		(765,000	)
Amount charged against net income	$	3,132,000		$	3,119,000
Effect on basic earnings per share	$	(0.18	)	$	(0.17	)
Effect on diluted earnings per share	$	(0.18	)	$	(0.17	)

Stock Options

The following table summarizes information for all stock options for the three and nine months ended December 31, 2022 and 2021:

	Three Months Ended December 31, 2022					Three Months Ended December 31, 2021
	Shares			Weighted Average Exercise Price		Shares			Weighted Average Exercise Price
Options outstanding, beginning		706,728		$	96.14		778,982		$	72.17
Options granted		69,200			155.99		50,200			197.16
Options exercised		(18,210	)		67.63		(25,917	)		62.78
Options cancelled/forfeited		(1,256	)		126.62		(6,407	)		81.62
Options outstanding, ending		756,462		$	102.25		796,858		$	80.27

	Nine Months Ended December 31, 2022					Nine Months Ended December 31, 2021
	Shares			Weighted Average Exercise Price		Shares			Weighted Average Exercise Price
Options outstanding, beginning		723,876		$	84.55		937,158		$	64.28
Options granted		149,400			155.69		110,450			163.54
Options exercised		(101,896	)		51.17		(212,588	)		53.27
Options cancelled/forfeited		(14,918	)		128.65		(38,162	)		78.87
Options outstanding, ending		756,462		$	102.25		796,858		$	80.27

Stock Options Outstanding and Exercisable

The following table summarizes the status of stock options outstanding and exercisable at December 31, 2022:

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
$33.16 to $70.24		204,302		2.09	$	52.49		187,542	$	52.17
$70.25 to $87.69		248,327		2.92		83.32		111,749		82.64
$87.70 to $155.99		209,534		4.30		138.56		30,938		108.20
$156.00 to $197.16		94,299		4.85		179.20		7,330		174.40
Total		756,462		3.32	$	102.25		337,559	$	70.05

Outstanding Options

The following table summarizes the status of all outstanding options at December 31, 2022, 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, 2022
Options outstanding at October 1, 2022		706,728		$	96.14
Granted		69,200			155.99
Exercised		(18,210	)		67.63
Cancelled – forfeited		(1,225	)		121.76
Cancelled – expired		(31	)		121.96
Ending outstanding		756,462		$	102.25		3.32	$	36,912,256
Ending vested and expected to vest		662,773		$	99.55		3.34	$	33,500,567
Ending exercisable at December 31, 2022		337,559		$	70.05		2.54	$	25,647,949