Earnings Per Share

12 Months Ended

Feb. 28, 2023

Basic earnings per share is based on the weighted average number of common shares outstanding during each year. Diluted earnings per share is calculated by giving effect to the potential dilution that could occur if securities or other contracts to issue common shares were exercised and converted into common shares during the year.

The following table sets forth the computation of basic and diluted earnings per share for fiscal years 2023, 2022 and 2021 (in thousands, except per share data):


	Year Ended February 28,
	2023		2022		2021
Numerator:
Net income from continuing operations	$	66,339	$	49,817	$	27,183
Dividends on preferred stock	(8,240)		—		—
Net income from continuing operations available to common shareholders	$	58,099	$	49,817	$	27,183




Net income (loss) from discontinued operations	$	(119,313)	$	34,205	$	12,431

Net income (loss) available to common shareholders	$	(61,214)	$	84,022	$	39,614



Denominator:
Weighted average shares outstanding for basic earnings per share	24,828		24,855		25,897
Effect of dilutive securities:
Employee and director stock awards	150		222		148


Denominator for diluted earnings per share	24,978		25,077		26,045

Basic earnings (loss) per share
Earnings (loss) per common share from continuing operations	$	2.34	$	2.00	$	1.05
Earnings (loss) per common share from discontinued operations	$	(4.81)	$	1.38	$	0.48
Earnings (loss) per common share	$	(2.47)	$	3.38	$	1.53
Diluted earnings (loss) per share
Earnings (loss) per common share from continuing operations	$	2.33	$	1.99	$	1.04
Earnings (loss) per common share from discontinued operations	$	(4.78)	$	1.36	$	0.48
Earnings (loss) per common share	$	(2.45)	$	3.35	$	1.52

For fiscal 2023, 2022 and 2021, approximately $0.1 million, $0.1 million and $0.2 million employee equity awards were excluded from the computation of diluted earnings per share as their effect would have been anti-dilutive. All shares related to the Series A Convertible Preferred Stock (2.3 million weighted average shares) were excluded from the computation of diluted earnings per share as their effect would be anti-dilutive. These shares could be dilutive in future periods.