Stock-Based Compensation and Stock Options (Tables)

3 Months Ended

Jun. 30, 2016

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Fair Value of Options Granted

The following assumptions were used to estimate the fair value of options granted during the three months ended June 30,2015 and 2016 using the Black-Scholes option-pricing model:

	Three Months Ended June 30,
	2015	2016
Risk-free interest rate	1.56%	1.20%
Expected volatility	44%	43%
Expected dividend yield	0.00%	0.00%
Expected forfeiture rate	11.60%	13.20%
Expected weighted average life of option in years	4.4 years	4.1 years

Stock Compensation Expense for Time Based Options and Performance Based Options

The table below shows the amounts recognized in the consolidated financial statements for stock compensation expense for time-based options and performance-based options during the three months ended June 30,2015 and 2016, respectively.

	Three Months Ended
	June 30, 2015			June 30, 2016
Cost of revenues	$	311,000		$	337,000
General and administrative		305,000			179,000
Total cost of stock-based compensation included in income before income tax provision	$	616,000		$	516,000
Amount of income tax benefit recognized		(234,000	)		(197,000	)
Amount charged against net income	$	382,000		$	319,000
Effect on basic earnings per share	$	(0.02	)	$	(0.02	)
Effect on diluted earnings per share	$	(0.02	)	$	(0.02	)

Stock Options

Summarized information for all stock options for the three months ended June 30, 2015 and 2016 follows:

	Three Months Ended June 30, 2015					Three Months Ended June 30, 2016
	Shares			Average Price		Shares			Average Price
Options outstanding, beginning		1,163,179		$	27.65		1,115,465		$	30.36
Options granted		39,700			34.67		44,900			45.74
Options exercised		(35,837	)		19.16		(76,623	)		22.11
Options cancelled/forfeited		—			—		(9,221	)		35.43
Options outstanding, ending		1,167,042		$	28.15		1,074,521		$	31.56

Stock Options Outstanding and Exercisable

The following table summarizes the status of stock options outstanding and exercisable at June 30, 2016:

			Weighted		Outstanding		Exercisable		Exercisable Options –
			Average		Options –		Options –		Weighted
			Remaining		Weighted		Number of		Average
	Number of		Contractual		Average		Exercisable		Exercise
Range of Exercise Price	Outstanding Options		Life		Exercise Price		Options		Price
$9.05 to $23.10		346,085		2.70	$	20.32		293,659	$	19.87
$23.11 to $34.77		192,764		3.08		30.74		102,521		28.2
$34.78 to $35.76		233,807		3.99		34.78		7,260		34.78
$35.77 to $46.20		301,865		4.08		43.82		90,554		42.60
Total		1,074,521		3.28	$	31.56		493,994	$	25.98

Outstanding Options

A summary of the status for all outstanding options at June 30, 2016, and changes during the three months then ended, is presented in the table below:

	Number of Options			Weighted Average Exercise Price Per Share		Weighted Average Remaining Contractual Life (Years)		Aggregate Intrinsic Value as of June 30, 2016
Options outstanding at April 1, 2016		1,115,465		$	30.36
Granted		44,900			45.74
Exercised		(76,623	)		22.11
Cancelled – forfeited		(9,139	)		35.34
Cancelled – expired		(82	)		44.78
Ending outstanding		1,074,521		$	31.56		3.28	$	12,787,075
Ending vested and expected to vest		939,647		$	30.83		3.17	$	11,874,296
Ending exercisable at June 30, 2016		493,994		$	25.98		2.61	$	8,598,614