Net Earnings Per Share

12 Months Ended

Jun. 30, 2023

Basic net income per share of Class A Common Stock is computed by dividing net income attributable to the Company's earnings by the weighted average number of shares of Class A Common Stock outstanding during the period. The weighted average number of shares of Class A Common Stock outstanding used in computing basic net income per share includes fully vested restricted stock units awarded to directors that are entitled to participate in distributions to common shareholders through receipt of additional units of equivalent value to the dividends paid to Class A Common Stock holders.

Diluted net income per share of Class A Common Stock is computed similarly to basic net income per share except the weighted average shares outstanding are increased to include additional shares from the assumed exercise of any common stock equivalents using the treasury method, if dilutive. The Company’s LLC Units and non-qualified stock options are considered common stock equivalents for this purpose. The number of additional shares of Class A Common Stock related to these common stock equivalents and stock options are calculated using the treasury stock method.

Stock awards with a performance condition that are based on the attainment of a specified amount of earnings are only included in the computation of diluted earnings per share to the extent that the performance condition would be achieved based on the current amount of earnings, and only if the effect would be dilutive.

Stock awards with a market condition that are based on the performance of the Company's stock price in relation to a market index over a specified time period are only included in the computation of diluted earnings per share to the extent that the shares would be issued based on the current market price of the Company's stock in relation to the market index, and only if the effect would be dilutive.

Basic and diluted net income per share of Class A Common Stock has been computed as follows (in thousands, except share and per share amounts):


	Fiscal Year Ended June 30,
	2023		2022		2021
Basic:
Net income attributable to Malibu Boats, Inc.	$	104,513	$	157,632	$	109,841
Shares used in computing basic net income per share:
Weighted-average Class A Common Stock	20,245,980		20,511,571		20,528,723
Weighted-average participating restricted stock units convertible into Class A Common Stock	255,864		237,666		223,929
Basic weighted-average shares outstanding	20,501,844		20,749,237		20,752,652
Basic net income per share	$	5.10	$	7.60	$	5.29

Diluted:
Net income attributable to Malibu Boats, Inc.	$	104,513	$	157,632	$	109,841
Shares used in computing diluted net income per share:
Basic weighted-average shares outstanding	20,501,844		20,749,237		20,752,652
Restricted stock units granted to employees	66,954		116,874		123,179
Weighted-average stock options convertible into Class A Common Stock	12,707		47,525		76,844
Weighted-average market performance awards convertible into Class A Common Stock	59,668		72,620		58,412
Diluted weighted-average shares outstanding 1	20,641,173		20,986,256		21,011,087
Diluted net income per share	$	5.06	$	7.51	$	5.23

1 The Company excluded 516,205, 686,178, and 685,271 potentially dilutive shares from the calculation of diluted net income per share for the fiscal year ended June 30, 2023, 2022, and 2021, respectively, as these units would have been antidilutive.

The shares of Class B Common Stock do not share in the earnings or losses of Malibu Boats, Inc. and are therefore not included in the calculation. Accordingly, basic and diluted net income per share of Class B Common Stock has not been presented.