Net Income per Share

3 Months Ended

Dec. 02, 2023

Basic net income per share is computed by dividing net income by the weighted-average number of shares of the Company’s Class A Common Stock, par value $0.001 per share (“Class A Common Stock”), and the Company’s Class B Common Stock, par value $0.001 per share (“Class B Common Stock” and, together with Class A Common Stock, “Common Stock”), outstanding during the period. Diluted net income per share is computed by dividing net income by the weighted-average number of shares of Common Stock outstanding during the period, including potentially dilutive shares of Common Stock equivalents outstanding during the period. The dilutive effect of potential shares of Common Stock is determined using the treasury stock method. The following table sets forth the computation of basic and diluted net income per common share under the treasury stock method for the thirteen-week periods ended December 2, 2023 and December 3, 2022:


	Thirteen Weeks Ended
	December 2, 2023		December 3, 2022
Numerator:
Net income attributable to MSC Industrial as reported	$	69,350	$	81,314
Denominator:
Weighted-average shares outstanding for basic net income per share	56,429		55,891
Effect of dilutive securities	294		190
Weighted-average shares outstanding for diluted net income per share	56,723		56,081
Net income per share:
Basic	$	1.23	$	1.45
Diluted	$	1.22	$	1.45

Potentially dilutive securities	—		499

Potentially dilutive securities attributable to outstanding share-based awards are excluded from the calculation of diluted net income per share when the combined exercise price and average unamortized fair value are greater than the average market price of Class A Common Stock, and, therefore, their inclusion would be anti-dilutive.