Net Income Per Share

9 Months Ended

May 28, 2022

Note 3. Net Income per Share

Net income per share is computed by dividing net income by the weighted-average number of shares of the Company’s Class A Common Stock, par value $0.001 per share (“Class A Common Stock”), and the Company’s Class B Common Stock, par value $0.001 per share (“Class B Common Stock” and, together with Class A Common Stock, “Common Stock”), outstanding during the period. Diluted net income per share is computed by dividing net income by the weighted-average number of shares of Common Stock outstanding during the period, including potentially dilutive shares of Common Stock equivalents outstanding during the period. The dilutive effect of potential shares of Common Stock is determined using the treasury stock method. The following table sets forth the computation of basic and diluted net income per common share under the treasury stock method for the thirteen- and thirty-nine-week periods ended May 28, 2022 and May 29, 2021.


	Thirteen Weeks Ended				Thirty-Nine Weeks Ended
	May 28,		May 29,		May 28,		May 29,
	2022		2021		2022		2021
Numerator:
Net income attributable to MSC Industrial as reported	$	99,657	$	94,434	$	235,655	$	150,973
Denominator:
Weighted-average shares outstanding for basic net income per share		55,914		55,944		55,748		55,814
Effect of dilutive securities		192		408		271		325
Weighted-average shares outstanding for diluted net income per share		56,106		56,352		56,019		56,139
Net income per share:
Basic	$	1.78	$	1.69	$	4.23	$	2.70
Diluted	$	1.78	$	1.68	$	4.21	$	2.69

Potentially dilutive securities		330		3		363		884

Potentially dilutive securities attributable to outstanding stock options and restricted stock units are excluded from the calculation of diluted net income per share when the combined exercise price and average unamortized fair value are greater than the average market price of Class A Common Stock, and, therefore, their inclusion would be anti-dilutive.