Share-Based Compensation

6 Months Ended

Jul. 31, 2022

Share-based Payment Arrangement [Abstract]

Note 8: Share-Based Compensation

Compensation expense related to stock options and restricted stock units is included in “General and administrative expenses” in the Consolidated Statements of Comprehensive Income and is as follows:


	Thirteen Weeks Ended				Twenty-six Weeks Ended
	July 31, 2022		August 1, 2021		July 31, 2022		August 1, 2021
Stock options	$	307		84	$	568		358
Restricted stock units		4,391		3,103		7,685		5,800

Share-based compensation expense	$	4,698	$	3,187	$	8,253	$	6,158

Transactions related to stock option awards during the

twenty-six

weeks ended July 31, 2022 were as follows:


	2014 Stock Incentive Plan					2010 Stock Incentive Plan
	Number			Wtd. Avg.		Number			Wtd. Avg.
	of Options			Exercise Price		of Options			Exercise Price
Outstanding at January 30, 2022		933,379		$	42.50		73,554		$	8.33
Granted		188,793			36.49		—			—
Exercised		(160,091	)		34.95		(6,059	)		8.69
Forfeited		(8,847	)		57.33		—			—

Outstanding at July 31, 2022		953,234		$	42.43		67,495		$	8.30

Exercisable at July 31, 2022		764,441		$	43.90		67,495		$	8.30

The total intrinsic value of options exercised during the twenty-six weeks ended July 31, 2022 was $2,287. The unrecognized expense related to our stock option plan totaled approximately $4,159 as of July 31, 2022 and will be expensed over a weighted average period of 4.3 years.

Transactions related to restricted stock units during the twenty-six weeks ended July 31, 2022, were as follows:


				Wtd. Avg.
	Shares			Fair Value
Outstanding at January 30, 2022		922,799		$	24.88
Granted		824,972			39.77
Performance adjusted units		11,808			46.75
Vested		(484,492	)		22.56
Forfeited		(54,106	)		50.51

Outstanding at July 31, 2022		1,220,981		$	34.94

Fair value of our time-based and performance-based restricted stock units is based on our closing stock price on the date of grant. The grant date fair value of stock options was determined using the Black-Scholes option valuation model. The grant date fair value of market-based restricted stock units was determined using the Monte Carlo valuation model. The unrecognized expense related to restricted stock units was $32,489 as of July 31, 2022 and will be expensed over a weighted average period of 3.2 years.

During the second quarter of fiscal 2022, the Company granted certain options, time-based, performance-based, and market-based restricted stock units to the newly appointed chief executive officer. The majority of these grants vest over five years

, but the market-based restricted stock units can vest earlier if the targets are achieved prior to that time. As a result, the requisite service period for such grants was determined to be less than the explicit service period.

During the twenty-six weeks ended July 31, 2022 and August 1, 2021, excess tax expense (benefit) of $(3,133) and $(5,665), respectively, were recognized in the “Provision for income taxes” in the Consolidated Statement of Comprehensive Income and classified as a source in operating activities in the Consolidated Statement of

Cash Flows.