Earnings per Share ("EPS")

9 Months Ended

Jun. 29, 2025

Earnings per Share (“EPS”)

Basic EPS is computed by dividing net income available to common stockholders by the weighted-average common shares outstanding for the period. Diluted EPS is computed by dividing net income by the weighted-average number of common shares outstanding and dilutive potential common shares for the period. Potential common shares include the weighted-average dilutive effects of stock-based awards and shares underlying our Convertible Senior Notes (the "Convertible Notes").

For the third quarter of fiscal 2024 and the first nine months of fiscal 2025 and 2024, our Convertible Notes, described in Note 14, "Long-Term Debt", had a dilution impact on the dilutive potential common shares, which was calculated using the if-converted method. The dilution impact was due to the price of our common stock exceeding the conversion price. For the third quarter of fiscal 2025, the Convertible Notes had no impact on the calculation of dilutive potential common shares, as the price of our common stock did not exceed the conversion price. The related capped call transactions (the "Capped Call Transactions") for all of these periods were excluded from the calculation of dilutive potential common shares as their effect is anti-dilutive. For the third quarters and first nine months of fiscal 2025 and 2024, no options were excluded from the calculation of dilutive potential common shares.

The following table presents the number of weighted-average shares used to compute basic and diluted EPS (in thousands, except per share data):


	Three Months Ended				Nine Months Ended
	June 29, 2025		June 30, 2024		June 29, 2025		June 30, 2024

Net income attributable to Tetra Tech	$	113,844	$	85,810	$	119,979	$	237,228

Weighted-average common shares outstanding – basic	263,026		267,575		265,589		267,255
Effect of dilutive stock options and unvested restricted stock	1,829		2,165		1,900		2,073
Shares issuable assuming conversion of convertible notes	—		520		624		175
Weighted-average common shares outstanding – diluted	264,855		270,260		268,113		269,503

Earnings per share attributable to Tetra Tech:
Basic	$	0.43	$	0.32	$	0.45	$	0.89
Diluted	$	0.43	$	0.32	$	0.45	$	0.88