Thermon Group Holdings, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Net Income per Common Share

Net Income per Common Share

12 Months Ended

Mar. 31, 2024

Basic net income per common share is computed by dividing net income by the weighted average number of common shares outstanding during each period. Diluted net income per common share is computed by dividing net income by the weighted average number of common shares and common share equivalents outstanding (if dilutive) during each period. The number of common share equivalents, which includes options and both restricted and performance stock units, is computed using the treasury stock method. With regard to the performance stock units, we assume that the associated performance targets will be met at the target level of performance for purposes of calculating diluted net income per common share until such time that it is probable that the performance target will not be met.

The reconciliations of the denominators used to calculate basic net income per common share and diluted net income per common share for fiscal 2024, 2023, and 2022, respectively, is as follows:


	Year Ended March 31, 2024		Year Ended March 31, 2023		Year Ended March 31, 2022
Basic net income per common share
Net income	$	51,588	$	33,666	$	20,092
Weighted-average common shares outstanding	33,670,861		33,468,632		33,308,045
Basic net income per common share	$	1.53	$	1.01	$	0.60


	Year Ended March 31, 2024		Year Ended March 31, 2023		Year Ended March 31, 2022
Diluted net income per common share
Net income	$	51,588	$	33,666	$	20,092
Weighted-average common shares outstanding	33,670,861		33,468,632		33,308,045
Common share equivalents:
Stock options issued	29,295		7,512		2,231
Restricted and performance stock units issued	366,831		269,792		204,285
Weighted average shares outstanding – dilutive	34,066,987		33,745,936		33,514,561
Diluted net income per common share	$	1.51	$	1.00	$	0.60

For the year ended March 31, 2024, 2023, and 2022, 4,706, 53,911 and 110,923 equity awards, respectively, were not included in the calculation of diluted net income per common share since they would have had an anti-dilutive effect.

Share Repurchase Program

On March 15, 2024, we announced the authorization of a share repurchase program by the Company’s board of directors of up to $50,000 of the Company’s outstanding shares of common stock, exclusive of any fees, commissions or other expenses related to such repurchases (the "Repurchase Program"). The Repurchase Program does not include a specific timetable or price targets and may be suspended or terminated at any time. Shares under the current repurchase program may be purchased through open market or privately negotiated transactions at the discretion of management, including through the use of trading plans intended to qualify under Rule 10b5-1 and Rule 10b-18 under the Securities Exchange Act of 1934, as amended.

During fiscal 2024, we purchased 8,018 shares at a weighted average price of $31.20. At March 31, 2024, $49,750 remained authorized under the repurchase program. We record shares of common stock repurchased at cost in treasury stock, resulting in a reduction of stockholders’ equity in the consolidated balance sheets.