Income Per Share

9 Months Ended

May 29, 2021

8. Income Per Share

The Company calculates income per share by allocating income to its unvested participating securities as part of its income per share calculations. The following table sets forth the computation of basic income per share using the two-class method for amounts attributable to the Company’s shares of Common Stock and Class B Common Stock (in thousands, except per share data):

	Thirteen Weeks Ended				Thirty-Nine Weeks Ended
	May 29, 2021		May 30, 2020		May 29, 2021		May 30, 2020
Net income available to shareholders	$	42,016	$	21,285	$	116,497	$	104,207
Allocation of net income for Basic:
Common Stock	$	35,270	$	17,871	$	97,792	$	87,519
Class B Common Stock		6,746		3,414		18,705		16,688
	$	42,016	$	21,285	$	116,497	$	104,207
Weighted average number of shares for Basic:
Common Stock		15,238		15,255		15,238		15,285
Class B Common Stock		3,643		3,643		3,643		3,643
		18,881		18,898		18,881		18,928
Income per share for Basic:
Common Stock	$	2.31	$	1.17	$	6.42	$	5.73
Class B Common Stock	$	1.85	$	0.94	$	5.13	$	4.58

The Company is required to calculate diluted income per share for Common Stock using the more dilutive of the following two methods:

•

The treasury stock method; or

•

The two-class method assuming a participating security is not exercised or converted.

For the thirteen and thirty-nine weeks ended May 29, 2021 and May 30, 2020, the Company’s diluted income per share assumes the conversion of all vested Class B Common Stock into Common Stock and uses the two-class method for its unvested participating shares. The following tables set forth the computation of diluted income per share of Common Stock for the thirteen and thirty-nine weeks ended May 29, 2021 and May 30, 2020 (in thousands, except per share data):

	Thirteen weeks ended May 29, 2021						Thirty-nine weeks ended May 29, 2021
	Earnings to Common Shareholders		Common Shares		Income Per Share		Earnings to Common Shareholders		Common Shares		Income Per Share
As reported - Basic	$	35,270		15,238	$	2.31	$	97,792		15,238	$	6.42
Add: effect of dilutive potential common shares
Share-Based Awards		—		170				—		160
Class B Common Stock		6,746		3,643				18,705		3,643
As reported – Diluted	$	42,016		19,051	$	2.21	$	116,497		19,041	$	6.12

	Thirteen weeks ended May 30, 2020						Thirty-nine weeks ended May 30, 2020
	Earnings to Common Shareholders		Common Shares		Income Per Share		Earnings to Common Shareholders		Common Shares		Income Per Share
As reported - Basic	$	17,871		15,255	$	1.17	$	87,519		15,285	$	5.73
Add: effect of dilutive potential common shares
Share-Based Awards		—		97				—		146
Class B Common Stock		3,414		3,643				16,688		3,643
As reported – Diluted	$	21,285		18,995	$	1.12	$	104,207		19,074	$	5.46

Share-based awards that would result in the issuance of 2,189 and 1,770 shares, respectively, of Common Stock were excluded from the calculation of diluted income per share for the thirteen and thirty-nine weeks ended May 29, 2021 because they were anti-dilutive. Share-based awards that would result in the issuance of 7,328 and 2,724 shares, respectively, of Common Stock were excluded from the calculation of diluted income per share for the thirteen and thirty-nine weeks ended May 30, 2020 because they were anti-dilutive.