| Capital Stock and Share Repurchase |
Note 10. Earnings per Share and Shareholders' Equity
The Company's Board of Directors has authorized the repurchase of shares of the Company's common stock under publicly announced share repurchase programs. Since the inception of the initial share repurchase program in fiscal 2012, the Company has repurchased 29,866,946 shares of common stock for $830.6 million. The Company suspended the initial share repurchase program in response to the COVID-19 pandemic in the third quarter of fiscal 2020. In March 2022, the Company's Board of Directors rescinded its prior share repurchase authorization and approved a new share repurchase program authorizing the repurchase of a total of 10,000,000 shares of the Company's outstanding common stock. The Company repurchased 1,094,231 shares for $30.1 million in the six months ended February 29, 2024 and did not repurchase shares in the six months ended February 28, 2023. As of February 29, 2024, the maximum number of shares that may yet be purchased under the program is 2,932,284 shares.
In December 2023, the Company's Board of Directors authorized the retirement of the Company's repurchased shares, and the Company retired 29,841,209 treasury shares, which included 113,587 shares purchased by the Company in December 2023. Shares repurchased after December 18, 2023 were retired upon repurchase. The Company repurchased and retired an additional 25,737 shares in the quarter, for a total share repurchase of 139,324 shares during the three months ended February 29, 2024. The share retirement resulted in reductions of $6.0 million in Class A Common Stock and $824.6 million in Retained Earnings reflected in the Condensed Consolidated Balance Sheets at February 29, 2024.
The reconciliation between basic and diluted earnings per share is as follows (in thousands, except per share amounts):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Three Months Ended |
|
Six Months Ended |
| |
February 29, 2024 |
|
February 28, 2023 |
|
February 29, 2024 |
|
February 28, 2023 |
| Numerator: |
|
|
|
|
|
|
|
| Net earnings from continuing operations |
$ |
17,871 |
|
|
$ |
7,158 |
|
|
$ |
36,177 |
|
|
$ |
13,568 |
|
| Loss from discontinued operations, net of income taxes |
(54) |
|
|
(2,661) |
|
|
(622) |
|
|
(1,618) |
|
| Net earnings |
$ |
17,817 |
|
|
$ |
4,497 |
|
|
$ |
35,555 |
|
|
$ |
11,950 |
|
|
|
|
|
|
|
|
|
| Denominator: |
|
|
|
|
|
|
|
| Weighted average common shares outstanding - basic |
54,213 |
|
|
57,042 |
|
|
54,370 |
|
|
56,964 |
|
| Net effect of dilutive securities - stock based compensation plans |
472 |
|
|
458 |
|
|
476 |
|
|
445 |
|
| Weighted average common shares outstanding - diluted |
54,685 |
|
|
57,500 |
|
|
54,846 |
|
|
57,409 |
|
|
|
|
|
|
|
|
|
| Earnings per share from continuing operations: |
|
|
|
|
|
|
|
| Basic |
$ |
0.33 |
|
|
$ |
0.13 |
|
|
$ |
0.67 |
|
|
$ |
0.24 |
|
| Diluted |
$ |
0.33 |
|
|
$ |
0.12 |
|
|
$ |
0.66 |
|
|
$ |
0.24 |
|
|
|
|
|
|
|
|
|
| Loss per share from discontinued operations: |
|
|
|
|
|
|
|
| Basic |
$ |
(0.00) |
|
|
$ |
(0.05) |
|
|
$ |
(0.01) |
|
|
$ |
(0.03) |
|
| Diluted |
$ |
(0.00) |
|
|
$ |
(0.05) |
|
|
$ |
(0.01) |
|
|
$ |
(0.03) |
|
|
|
|
|
|
|
|
|
| Earnings per share:* |
|
|
|
|
|
|
|
| Basic |
$ |
0.33 |
|
|
$ |
0.08 |
|
|
$ |
0.65 |
|
|
$ |
0.21 |
|
| Diluted |
$ |
0.33 |
|
|
$ |
0.08 |
|
|
$ |
0.65 |
|
|
$ |
0.21 |
|
|
|
|
|
|
|
|
|
| Anti-dilutive securities from stock based compensation plans (excluded from earnings per share calculation) |
71 |
|
|
1,986 |
|
|
191 |
|
|
1,402 |
|
|
|
|
|
|
|
|
|
| *The total of Earnings per share from continuing operations and Loss per share from discontinued operations may not equal Earnings per share due to rounding. |
The following table illustrates the changes in the balances of each component of shareholders' equity for the six months ended February 29, 2024 (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Common Stock |
|
Additional
Paid-in
Capital |
|
Treasury
Stock |
|
Retained
Earnings |
|
Accumulated
Other
Comprehensive
Loss |
|
Stock
Held in
Trust |
|
Deferred
Compensation
Liability |
|
Total
Shareholders’
Equity |
| |
Issued
Shares |
|
Amount |
|
| Balance at August 31, 2023 |
83,761 |
|
|
$ |
16,752 |
|
|
$ |
220,472 |
|
|
$ |
(800,506) |
|
|
$ |
1,011,112 |
|
|
$ |
(121,210) |
|
|
$ |
(3,484) |
|
|
$ |
3,484 |
|
|
$ |
326,620 |
|
| Net earnings |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
17,738 |
|
|
— |
|
|
— |
|
|
— |
|
|
17,738 |
|
| Other comprehensive income, net of tax |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
370 |
|
|
— |
|
|
— |
|
|
370 |
|
| Stock contribution to employee benefit plans and other |
2 |
|
|
— |
|
|
51 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
51 |
|
| Vesting of equity awards |
118 |
|
|
23 |
|
|
(23) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
| Cash dividend ($0.04 per share) true-up |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
21 |
|
|
— |
|
|
— |
|
|
— |
|
|
21 |
|
| Treasury stock repurchases |
— |
|
|
— |
|
|
— |
|
|
(26,116) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(26,116) |
|
| Stock based compensation expense |
— |
|
|
— |
|
|
2,717 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
2,717 |
|
| Stock option exercises |
83 |
|
|
17 |
|
|
2,193 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
2,210 |
|
| Tax effect related to net share settlement of equity awards |
— |
|
|
— |
|
|
(2,025) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(2,025) |
|
| Stock issued to, acquired for and distributed from rabbi trust |
3 |
|
|
1 |
|
|
89 |
|
|
— |
|
|
— |
|
|
— |
|
|
(92) |
|
|
92 |
|
|
90 |
|
| Balance at November 30, 2023 |
83,967 |
|
|
$ |
16,793 |
|
|
$ |
223,474 |
|
|
$ |
(826,622) |
|
|
$ |
1,028,871 |
|
|
$ |
(120,840) |
|
|
$ |
(3,576) |
|
|
$ |
3,576 |
|
|
$ |
321,676 |
|
| Net earnings |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
17,817 |
|
|
— |
|
|
— |
|
|
— |
|
|
17,817 |
|
| Other comprehensive loss, net of tax |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(1,207) |
|
|
— |
|
|
— |
|
|
(1,207) |
|
| Stock contribution to employee benefit plans and other |
1 |
|
|
— |
|
|
35 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
35 |
|
| Vesting of equity awards |
105 |
|
|
21 |
|
|
(21) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
| Stock based compensation expense |
— |
|
|
— |
|
|
2,810 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
2,810 |
|
| Stock option exercises |
21 |
|
|
5 |
|
|
472 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
477 |
|
| Tax effect related to net share settlement of equity awards |
— |
|
|
— |
|
|
(953) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(953) |
|
| Stock issued to, acquired for and distributed from rabbi trust |
26 |
|
|
5 |
|
|
258 |
|
|
— |
|
|
— |
|
|
— |
|
|
(201) |
|
|
201 |
|
|
263 |
|
| Treasury stock repurchases |
— |
|
|
— |
|
|
— |
|
|
(3,992) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(3,992) |
|
| Treasury stock retired |
(29,867) |
|
|
(5,973) |
|
|
— |
|
|
830,614 |
|
|
(824,641) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
| Balance at February 29, 2024 |
54,253 |
|
|
$ |
10,851 |
|
|
$ |
226,075 |
|
|
$ |
— |
|
|
$ |
222,047 |
|
|
$ |
(122,047) |
|
|
$ |
(3,777) |
|
|
$ |
3,777 |
|
|
$ |
336,926 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following table illustrates the changes in the balances of each component of shareholders' equity for the six months ended February 28, 2023 (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Common Stock |
|
Additional
Paid-in
Capital |
|
Treasury
Stock |
|
Retained
Earnings |
|
Accumulated
Other
Comprehensive
Loss |
|
Stock
Held in
Trust |
|
Deferred
Compensation
Liability |
|
Total
Shareholders’
Equity |
| |
Issued
Shares |
|
Amount |
|
| Balance at August 31, 2022 |
83,397 |
|
|
$ |
16,679 |
|
|
$ |
212,986 |
|
|
$ |
(742,844) |
|
|
$ |
966,751 |
|
|
$ |
(134,961) |
|
|
$ |
(3,209) |
|
|
$ |
3,209 |
|
|
$ |
318,611 |
|
| Net earnings |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
7,453 |
|
|
— |
|
|
— |
|
|
— |
|
|
7,453 |
|
| Other comprehensive income, net of tax |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
6,024 |
|
|
— |
|
|
— |
|
|
6,024 |
|
| Stock contribution to employee benefit plans and other |
3 |
|
|
1 |
|
|
41 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
42 |
|
| Vesting of equity awards |
84 |
|
|
17 |
|
|
(17) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
| Stock based compensation expense |
— |
|
|
— |
|
|
2,155 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
2,155 |
|
| Stock option exercises |
42 |
|
|
8 |
|
|
922 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
930 |
|
| Tax effect related to net share settlement of equity awards |
— |
|
|
— |
|
|
(969) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(969) |
|
| Stock issued to, acquired for and distributed from rabbi trust |
3 |
|
|
1 |
|
|
76 |
|
|
— |
|
|
— |
|
|
— |
|
|
(30) |
|
|
30 |
|
|
77 |
|
| Balance at November 30, 2022 |
83,529 |
|
|
$ |
16,706 |
|
|
$ |
215,194 |
|
|
$ |
(742,844) |
|
|
$ |
974,204 |
|
|
$ |
(128,937) |
|
|
$ |
(3,239) |
|
|
$ |
3,239 |
|
|
$ |
334,323 |
|
| Net earnings |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
4,497 |
|
|
— |
|
|
— |
|
|
— |
|
|
4,497 |
|
| Other comprehensive income, net of tax |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
1,243 |
|
|
— |
|
|
— |
|
|
1,243 |
|
| Stock contribution to employee benefit plans and other |
2 |
|
|
— |
|
|
49 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
49 |
|
| Vesting of equity awards |
173 |
|
|
34 |
|
|
(34) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
| Stock based compensation expense |
— |
|
|
— |
|
|
2,120 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
2,120 |
|
| Tax effect related to net share settlement of equity awards |
— |
|
|
— |
|
|
(1,505) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
(1,505) |
|
| Stock issued to, acquired for and distributed from rabbi trust |
28 |
|
|
6 |
|
|
55 |
|
|
— |
|
|
— |
|
|
— |
|
|
(81) |
|
|
81 |
|
|
61 |
|
| Balance at February 28, 2023 |
83,732 |
|
|
$ |
16,746 |
|
|
$ |
215,879 |
|
|
$ |
(742,844) |
|
|
$ |
978,701 |
|
|
$ |
(127,694) |
|
|
$ |
(3,320) |
|
|
$ |
3,320 |
|
|
$ |
340,788 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|