Stock-Based Compensation

9 Months Ended

Jan. 31, 2023

Share-Based Payment Arrangement [Abstract]

Stock-Based Compensation

Stock-Based Compensation

During the nine months ended January 31, 2023 and 2022, we granted options for 1,519,000 and 1,438,500 shares of Class A common stock, respectively. The fair value of each option award is estimated on the date of grant using the Black-Scholes option pricing model. The forfeiture rates are estimated using historical data. We recorded stock option compensation cost of approximately $1.3 million and $1.1 million and income tax benefits of approximately $4,000 and $327,000 from option exercises during the three months ended January 31, 2023 and 2022, respectively. We recorded stock option compensation cost of approximately $3.9 million and $2.9 million and income tax benefits of approximately $67,000 and $1.9 million from option exercises during the nine months ended January 31, 2023 and 2022, respectively. We record stock-based compensation expense on a straight-line basis over the vesting period directly to additional paid-in capital.

During the nine months ended January 31, 2023 and 2022, we issued 140,800 and 678,129 shares of Class A common stock, respectively, resulting from the exercise of stock options. The total intrinsic value of options exercised during the nine months ended January 31, 2023 and 2022 based on market value at the exercise dates was approximately $0.6 million and $9.1 million, respectively. As of January 31, 2023, unrecognized compensation cost related to unvested stock option awards approximated $14.6 million, which we expect to recognize over a weighted average period of 1.88 years.