STOCK-BASED COMPENSATION

3 Months Ended

Apr. 30, 2026

STOCK-BASED COMPENSATION

STOCK-BASED COMPENSATION

NOTE 10 – STOCK-BASED COMPENSATION

Stock-based compensation expense amounts for the three months ended April 30, 2026 and 2025 were $2.0 million and $1.2 million, respectively. As of April 30, 2026, there was $18.7 million in unrecognized compensation costs related to outstanding stock awards that the Company expects to recognize over the next three years.

During the three months ended April 30, 2026, the Company awarded performance-based restricted stock units covering a target of 596 shares of common stock, earnings per share performance-based restricted stock units covering a target of 12,583 shares of common stock, and time-based restricted stock units covering 10,701 shares of common stock. The number of shares of common stock to be issued under certain awards may exceed the number of target shares if certain performance goals are exceeded. The changes in the maximum number of shares of common stock issuable pursuant to outstanding restricted stock units for the three months ended April 30, 2026 are presented below (shares in thousands):

		Weighted-
		Average
		Grant-Date
		Fair Value
	Shares	Per Share
Outstanding, February 1, 2026	231	$	53.19
Granted	41	$	260.75
Issued	(87)	$	33.64
Outstanding, April 30, 2026	185	$	107.83

During the three months ended April 30, 2026, the Company awarded nonqualified stock options to purchase 955 shares of common stock at a weighted-average exercise price per share of $588.28. During the three months ended April 30, 2026, nonqualified stock options to purchase 30,568 shares of common stock were exercised at a weighted-average exercise price per share of $39.80. As of April 30, 2026, there were 48,454 nonqualified stock options outstanding.

Shares Withheld and Treasury Stock

For the three months ended April 30, 2026 and 2025, the Company used 76,165 shares and 59,472 shares of treasury stock, respectively, to settle stock option exercises and other share-based awards. For the three months ended April 30, 2026, the Company withheld 41,115 shares of common stock at the average price per share of $605.78 for the exercise price and/or tax withholding in connection with stock option exercises and other share-based award settlements. For the three months

ended April 30, 2025, the Company withheld 44,669 shares of common stock at the average price per share of $146.41 for the exercise price and/or tax withholding in connection with stock option exercises and other share-based award settlements.