EXHIBIT 11
STIFEL FINANCIAL CORP. AND SUBSIDIARIES
COMPUTATION OF EARNINGS PER SHARE
(In Thousands, Except Per Share Amounts)
(UNAUDITED)
Three Months Ended
September 27, 1996 September 29, 1995
Fully Fully
Primary Diluted Primary Diluted
Net income $ 458 $ 458 $ 162 $ 162
After-tax interest savings assuming
conversion of Senior Convertible
Notes (1) - - 129 - - 157
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Net income adjusted for after-tax
interest savings $ 458 $ 587 $ 162 $ 319
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Average number of common shares
outstanding during the period 4,461 4,461 4,394 4,394
Additional shares assuming exercise
of stock options (2) 84 105 76 76
Additional Shares assuming conversion
of Senior Convertible Notes (3) - - 1,350 - - 1,350
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Average number of common shares used
to calculate earnings per share 4,545 5,916 4,470 5,820
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Net earnings per share $ 0.10 $ 0.10 $ 0.04 $ 0.04(4)
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Nine Months Ended
September 27, 1996 September 29, 1995
Fully Fully
Primary Diluted Primary Diluted
Net income $1,969 $1,969 $ 326 $ 326
After-tax interest savings assuming
conversion of Senior Convertible
Notes (1) - - 472 - - 473
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Net income adjusted for after-tax
interest savings $1,969 $2,441 $ 326 $ 799
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Average number of common shares
outstanding during the period 4,457 4,457 4,395 4,395
Additional shares assuming exercise
of stock options (2) 76 105 64 64
Additional Shares assuming conversion
of Senior Convertible Notes (3) - - 1,350 - - 1,350
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Average number of common shares used
to calculate earnings per share 4,533 5,912 4,459 5,809
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Net earnings per share $ 0.43 $ 0.41 $ 0.07 $ 0.07(4)
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(1) Represents the after-tax interest savings resulting from
assumed conversion of $10,000,000 aggregate principal 11.25%
Senior Convertible Notes.
(2) Represents the number of shares of common stock issuable
on the exercise of dilutive employee stock options less the
number of shares of common stock which could have been
purchased with the proceeds from the exercise of such options
and assumed purchases of stock from the Employee Stock
Purchase Plan (ESPP). For primary earnings per share
computations, these purchases were assumed to have been made
at the average market price of the common stock during the
period or that part of the period for which the option was
outstanding or shares assumed purchased through the ESPP. For
fully diluted earnings per share computations, these purchases
were assumed to have been made at the greater of the market
price of the common stock at the end of the period or average
market price of the common stock during the period or that
part of the period for which the option was outstanding or
shares assumed purchased through the ESPP.
(3) Represents the number of shares of common stock issuable
upon conversion of $10,000,000 aggregate principal 11.25%
Senior Convertible Notes at a conversion price of $7.4059 per
share.
(4) Net fully diluted earnings per share computes to $0.05 for
the three months ended September 29, 1995 and $0.14 for the
nine months ended September 29, 1995. Since these are anti-
dilutive, fully diluted earnings per share is equivalent to
primary earnings per share.