Net (loss) earnings per unitholders' interest

9 Months Ended

Apr. 30, 2024

Net (loss) earnings per unitholders' interest

Net (loss) earnings per unitholders' interest

M.    Net (loss) earnings per unitholders’ interest

Below is a calculation of the basic and diluted net (loss) earnings per Class A Unitholders’ interest in the condensed consolidated statements of operations for the periods indicated:

	For the three months ended April 30,				For the nine months ended April 30,
	2024		2023		2024		2023
	(in thousands, except per unit amounts)
Net earnings attributable to Ferrellgas Partners, L.P.	$	52,766	$	72,427	$	130,999	$	165,982
Less: Distributions to preferred unitholders		16,045		15,590		48,546		48,063
Less: Distributions to Class B unitholders		99,996		49,998		99,996		49,998
Less: Allocation of undistributed net earnings to Class B units		—		—		—		49,653
Less: General partner’s interest in net earnings		527		724		1,310		1,660
Undistributed net (loss) earnings attributable to Class A unitholders		(63,802)		6,115		(18,853)		16,608
Weighted average Class A Units outstanding (in thousands)		4,857.6		4,857.6		4,857.6		4,857.6
Basic and diluted net (loss) earnings per Class A Unit	$	(13.13)	$	1.26	$	(3.88)	$	3.42

Class B Units considerations

The Class B Units meet the definition of a participating security and the two-class method is required. For any periods in which earnings are recognized, the earnings will first be allocated 100% to the Class B Units until the allocation equals the cumulative amount of all distributions paid to the Class B Units. Any remaining undistributed net earnings will be allocated between the Class B Units and the Class A Units on a six-to-one basis as if all undistributed earnings had been distributed to each class of units in accordance with their distribution rights. For any periods in which losses are recognized, no effect is given to the Class B Units as they do not contractually participate in the losses of Ferrellgas. In addition, Ferrellgas has the option to redeem all, but not less than all, of the Class B Units outstanding at any time on or prior to March 30, 2026 for cash. This call option does not impact the dilutive effect of net loss per Class A Unit due to the cash-only redemption provision, which is assumed, and therefore there would be no dilutive effect.