XML 45 R25.htm IDEA: XBRL DOCUMENT v3.21.2
(Loss) Earnings Per Share
 12 Months Ended
Jun. 30, 2021
(Loss) Earnings Per Share [Abstract]  
(Loss) Earnings Per Share
18.
 
(LOSS)
 
EARNINGS
 
PER
 
SHARE
 
 
The Company has
 
issued redeemable common
 
stock (refer to Note
 
13) which is redeemable
 
at an amount other
 
than fair value.
Redemption of a class of common stock
 
at other than fair value
 
increases or decreases the carrying amount of
 
the redeemable common
stock
 
and
 
is
 
reflected
 
in
 
basic
 
earnings
 
per
 
share
 
using
 
the
 
two-class
 
method.
 
There
 
were
 
no
 
redemptions
 
of
 
common
 
stock,
 
or
adjustments to the
 
carrying value of the
 
redeemable common stock during
 
the years ended
 
June 30, 2021,
 
2020 and 2019.
 
Accordingly,
the two-class method presented below does not include the impact of
 
any redemption.
 
 
Basic (loss) earnings per share include shares of restricted stock that meet the definition of a participating security because these
shares are eligible
 
to receive non
 
-forfeitable dividend
 
equivalents at the
 
same rate as
 
common stock.
 
Basic (loss) earnings
 
per share
has been calculated using the two-class method and basic (loss) earnings per share for the years ended
 
June 30, 2021, 2020 and 2019,
reflects only
 
undistributed
 
earnings. The
 
computation below
 
of basic
 
(loss) earnings
 
per share
 
excludes the
 
net loss
 
attributable
 
to
shares of unvested restricted
 
stock (participating non-vested
 
restricted stock) from
 
the numerator and excludes
 
the dilutive impact of
these unvested shares of restricted stock from the denominator.
 
Diluted (loss)
 
earnings per
 
share have
 
been calculated
 
to give
 
effect to
 
the number
 
of shares
 
of additional
 
common stock
 
that
would have
 
been outstanding
 
if the
 
potential dilutive
 
instruments had
 
been issued
 
in each
 
period. Stock
 
options are
 
included in
 
the
calculation of diluted (loss) earnings per share utilizing the treasury stock
 
method and are not considered to be participating securities,
as the
 
stock options
 
do not
 
contain non-forfeitable
 
dividend rights.
 
The calculation
 
of diluted
 
(loss) earnings
 
per share
 
includes the
dilutive effect of
 
a portion of the
 
restricted stock granted
 
to employees in Augu
 
st 2016, August 2017,
 
March 2018, September
 
2018,
February 2020 and May 2021
 
as these shares of restricted
 
stock are considered contingently returnable
 
shares for the purposes of
 
the
diluted (loss) earnings per share calculation and the vesting conditions in respect of
 
a portion of the restricted stock had been
 
satisfied.
The
 
vesting
 
conditions
 
are
 
discussed
 
in
 
Note
 
16
.
 
 
18.
 
(LOSS)
 
EARNINGS
 
PER
 
SHARE
 
(continued)
 
 
The following table presents net (loss) income attributable
 
to Net1 and the share
 
data used in the basic and
 
diluted (loss) earnings
per share computations using the two-class method for the years ended
 
June 30, 2021, 2020 and 2019:
2021
2020
2019
(in thousands except percent and per share data)
Numerator:
Net loss attributable to Net1
$
(38,057)
$
(78,358)
$
(311,007)
Undistributed (loss) earnings
(38,057)
(78,358)
(311,007)
Continuing
(38,057)
(97,214)
(311,761)
Discontinued
$
-
$
18,856
$
754
Percent allocated to common shareholders
(Calculation 1)
99%
98%
99%
Numerator for (loss) earnings per share: basic and diluted
$
(37,825)
$
(76,827)
$
(306,640)
Continuing
(37,825)
(95,315)
(307,383)
Discontinued
$
-
$
18,488
$
743
Denominator
Denominator for basic (loss) earnings per share:
weighted-average common shares outstanding
56,332
56,003
55,963
Effect of dilutive securities:
Stock options
259
-
18
Denominator for diluted (loss) earnings per share: adjusted
weighted average common shares outstanding and assumed
conversion
56,591
56,003
55,981
(Loss) Earnings per share:
Basic
 
$
(0.67)
$
(1.37)
$
(5.48)
Continuing
$
(0.67)
$
(1.70)
$
(5.49)
Discontinued
$
-
$
0.33
$
0.01
Diluted
 
$
(0.67)
$
(1.37)
$
(5.48)
Continuing
$
(0.67)
$
(1.70)
$
(5.49)
Discontinued
$
-
$
0.33
$
0.01
(Calculation 1)
Basic weighted-average common shares outstanding (A)
 
56,332
56,003
55,963
Basic weighted-average common shares outstanding and unvested
restricted shares expected to vest (B)
 
56,678
57,119
56,760
Percent allocated to common shareholders
 
(A) / (B)
 
99%
98%
99%
Options to
 
purchase
282,832
,
1,331,651
 
and
864,579
 
shares of
 
the Company’s
 
common stock
 
at prices
 
ranging from
 
$
6.20
 
to
$
11.23
 
(2021), $
3.07
 
to $
11.23
 
(2020) and
 
$
6.20
 
to $
11.23
 
(2019) per
 
share were outstanding
 
during the year
 
ended June 30,
 
2021,
2020 and 2019,
 
respectively, but were not included
 
in the computation
 
of diluted (loss)
 
earnings per share
 
because the options’
 
exercise
prices were greater
 
than the average
 
market price of
 
the Company’s common shares.
 
The options, which
 
expire at various
 
dates through
October 14, 2029, were still outstanding as of June 30, 2021.