XML 31 R18.htm IDEA: XBRL DOCUMENT
v3.24.3

Per Common Share Amounts | 12 Months Ended
--- | ---
Sep. 30, 2024
Earnings Per Share [Abstract] |
Per Common Share Amounts | Per Common Share Amounts We calculate basic earnings per share using the two-class method. Unvested Class A Common Shares awarded to our employees are deemed participating securities for purposes of calculating basic earnings per common share because they have dividend rights. Under the two-class method, we allocate earnings proportionately to vested Class A Common Shares and Class B-1 Common Shares outstanding and unvested Class A Common Shares outstanding for the period. Accordingly, earnings attributable to unvested Class A Common Shares are excluded from basic earnings per share under the two-class method. Our Class B-2 Common Shares, which are paired with ABP Trust’s Class A Units, have no independent economic interest in RMR Inc. and thus are not included as common shares outstanding for purposes of calculating basic earnings per common share. Diluted earnings per share is calculated using the treasury stock method for unvested Class A Common Shares and the if-converted method for Class B-2 Common Shares. The 15,000,000 Class A Units that we do not own may be redeemed for our Class A Common Shares on a one-for-one basis or, upon such redemption, we may elect to pay cash instead of issuing Class A Common Shares. Upon redemption of a Class A Unit, the Class B-2 Common Share “paired” with such unit is canceled for no additional consideration. In computing the dilutive effect, if any, the assumed redemption would have on earnings per share, we considered net income available to holders of our Class A Common Shares would increase due to elimination of the noncontrolling interest offset by any tax effect, which may be dilutive. For the fiscal years ended September 30, 2024 and 2023, such redemption is not reflected in diluted earnings per share as the assumed redemption would be anti-dilutive. For the fiscal year ended September 30, 2022, the assumed redemption is dilutive to earnings per share. The calculation of basic and diluted earnings per share for the fiscal years ended September 30, 2024, 2023 and 2022, is as follows (amounts in thousands, except per share amounts):
|  | Fiscal Year Ended September 30,
|  | 2024 |  | 2023 |  | 2022
Numerators: |  |  |  |  |  |
Net income attributable to The RMR Group Inc. |  | $ | 23,130 |  |  | $ | 57,147 |  |  | $ | 34,004 |
Less: income attributable to unvested participating securities |  | (323) |  |  | (651) |  |  | (329) |
Net income attributable to The RMR Group Inc. used in calculating basic EPS |  | 22,807 |  |  | 56,496 |  |  | 33,675 |
Effect of dilutive securities: |  |  |  |  |  |
Add back: income attributable to unvested participating securities |  | — |  |  | — |  |  | 329 |
Add back: net income attributable to noncontrolling interest |  | — |  |  | — |  |  | 43,464 |
Add back: income tax expense |  | — |  |  | — |  |  | 13,233 |
Less: income tax expense assuming redemption of noncontrolling interest’s Class A Units for Class A Common Shares (1) |  | — |  |  | — |  |  | (26,732) |
Net income used in calculating diluted EPS |  | $ | 22,807 |  |  | $ | 56,496 |  |  | $ | 63,969 |
Denominators: |  |  |  |  |  |
Common shares outstanding |  | 16,846 |  |  | 16,712 |  |  | 16,606 |
Less: unvested participating securities and incremental impact of weighted average |  | (314) |  |  | (286) |  |  | (268) |
Weighted average common shares outstanding - basic |  | 16,532 |  |  | 16,426 |  |  | 16,338 |
Effect of dilutive securities: |  |  |  |  |  |
Add: assumed redemption of noncontrolling interest’s Class A Units for Class A Common Shares |  | — |  |  | — |  |  | 15,000 |
Add: incremental unvested shares |  | — |  |  | — |  |  | 10 |
Weighted average common shares outstanding - diluted |  | 16,532 |  |  | 16,426 |  |  | 31,348 |
Net income attributable to The RMR Group Inc. per common share - basic |  | $ | 1.38 |  |  | $ | 3.44 |  |  | $ | 2.06 |
Net income attributable to The RMR Group Inc. per common share - diluted |  | $ | 1.38 |  |  | $ | 3.44 |  |  | $ | 2.04 |
(1)Income tax expense assumes the hypothetical conversion of the noncontrolling interest, which results in an estimated tax rate of 29.5% for the fiscal year ended September 30, 2022

X
- References No definition available. + Details
Name: | us-gaap_EarningsPerShareAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for earnings per share. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 260 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482662/260-10-50-1 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 260 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/260/tableOfContent Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 260 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482662/260-10-50-2 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 260 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482662/260-10-50-3 + Details
Name: | us-gaap_EarningsPerShareTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration