Shareholders' Equity

6 Months Ended

Mar. 01, 2025

Stockholders' Equity Note [Abstract]

Shareholders' Equity

Shareholders’ Equity

Common Stock Repurchases and Treasury Stock

In June 2021, the Board of Directors of the Company (the “Board”) terminated the existing share repurchase plan and authorized a new share repurchase plan (the “Share Repurchase Plan”) to purchase up to 5,000 shares of Class A Common Stock. There is no expiration date for the Share Repurchase Plan. As of March 1, 2025, the maximum number of shares of Class A Common Stock that were available for repurchase under the Share Repurchase Plan was 1,529 shares. The Share Repurchase Plan allows the Company to repurchase shares at any time and in any increments it deems appropriate in accordance with Rule 10b-18 under the Exchange Act.

During the thirteen- and twenty-six-week periods ended March 1, 2025, the Company repurchased 158 shares and 377 shares, respectively, of Class A Common Stock for $12,469 and $30,541, respectively. From these totals, 5 shares and 75 shares, respectively, were repurchased by the Company to satisfy the Company’s associates’ tax withholding liability associated with its stock-based compensation program and are reflected at cost as treasury stock in the unaudited Condensed Consolidated Financial Statements for the thirteen- and twenty-six-week periods ended March 1, 2025 and the remainder were immediately retired. During the thirteen- and twenty-six-week periods ended March 2, 2024, the Company repurchased 175 shares and 1,542 shares, respectively, of Class A Common Stock for $16,632 and $148,677, respectively. From these totals, 9 shares and 96 shares, respectively, were repurchased by the Company to satisfy the Company’s associates’ tax withholding liability associated with its stock-based compensation program and are reflected at cost as treasury stock in the unaudited Condensed Consolidated Financial Statements for the thirteen- and twenty-six-week periods ended March 2, 2024 and the remainder were immediately retired.

As of March 1, 2025, August 31, 2024 and March 2, 2024, the Company also recorded accruals for excise tax on share repurchases of $101, $1,523 and $0, respectively, which was included in Accrued expenses and other current liabilities in the unaudited Condensed Consolidated Balance Sheets.

The Company reissued 17 shares 31 shares of treasury stock during the thirteen- and twenty-six-week periods ended March 1, 2025, respectively, and reissued 14 shares and 27 shares of treasury stock during the thirteen- and twenty-six-week periods ended March 2, 2024, respectively, to fund the MSC Industrial Direct Co., Inc. Amended and Restated Associate Stock Purchase Plan.

Dividends on Common Stock

The Company paid aggregate regular cash dividends of $1.70 per share totaling $94,933 for the twenty-six-week period ended March 1, 2025. For the twenty-six-week period ended March 2, 2024, the Company paid aggregate regular cash dividends of $1.66 per share totaling $93,964.

On March 26, 2025, the Board declared a regular cash dividend of $0.85 per share, payable on April 23, 2025, to shareholders of record at the close of business on April 9, 2025. The dividend is expected to result in aggregate payments of $47,363 based on the number of shares outstanding on March 17, 2025.

Reclassification

In the first quarter of fiscal year 2024, the Company completed its previously announced reclassification (the “Reclassification”) of the common stock to eliminate the Class B Common Stock, par value $0.001 per share (“Class B Common Stock”). At the closing of the Reclassification, each share of Class B Common Stock issued and outstanding immediately prior to the Effective Time was reclassified, exchanged and converted into 1.225 shares of Class A Common Stock.