
<PAGE>   1
                                                                 Exhibit 11

             APPLIED INDUSTRIAL TECHNOLOGIES, INC. AND SUBSIDIARIES
             ------------------------------------------------------
                       Computation of Net Income Per Share
                      (Thousands, except per share amounts)


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<TABLE>
<CAPTION>
            
                                               Year Ended June 30,             
                                                                               
                                         1997          1996          1995      
                                     -----------   -----------   -----------   
                                                                               
  <S>                                <C>           <C>           <C>           
     Average Shares Outstanding (B)                                            
     ------------------------------                                            
                                                                               
  1. Average common shares                                                     
     outstanding                        12,389        12,303        11,551     
                                                                               
  2. Net additional shares                                                     
     outstanding assuming stock                                                
     options exercised and                                                     
     proceeds used to purchase                                                 
     treasury stock                        345           264           197     
                                     -----------   -----------   -----------   
                                                                               
  3. Adjusted average common                                                   
     shares outstanding for                                                    
     fully diluted computation          12,734        12,567        11,747     
                                     ===========   ===========   ===========   
                                                                               
                                                                               
     Net Income                                                                
     ----------                                                                
                                                                               
  4. Net income as reported in                                                 
     statements of consolidated                                                
     income                          $  27,092     $  23,334     $  16,909     
                                     ===========   ===========   ===========   
     Net Income Per Share                                                      
     --------------------                                                      
                                                                               
  5. Net income per average                                                    
     common share outstanding                                                  
     (4/1)                           $    2.19     $    1.90     $    1.46     
                                     ===========   ===========   ===========   
  6. Net income per common                                                     
     share on a fully                                                          
     dilutive basis (4/3)            $    2.13 (A) $    1.86 (A) $    1.44 (A) 
                                     ===========   ===========   ===========   
                                                                               
<FN>
(A)  Amount is not presented in the statements as the dilutive effect is less
     than 3%.
 
(B)  All per share data have been restated to reflect a three for two stock
     split effective December 4, 1995.
</TABLE>
