TOLL BROTHERS, INC. & SUBSIDIARIES EXHIBIT 11 STATEMENT: COMPUTATION OF EARNINGS PER SHARE Nine Months Nine Months ended July 31 ended July 31 1997 1996 Income before extraordinary loss per income statement $43,250,000 $31,659,000 Addback: Interest on convertible debentures, net of income taxes 1,134,000 1,164,000 Income before extraordinary loss (Fully-diluted) $44,384,000 $32,823,000 Per share: Primary $ 1.24 $ .92 Fully-diluted $ 1.19 $ .89 PRIMARY SHARES: Weighted average shares outstanding 34,089,902 33,852,173 Common stock equivalents - stock options 686,922 644,004 TOTAL 34,776,824 34,496,177 FULLY-DILUTED SHARES: Weighted average shares outstanding 34,089,515 33,852,173 Common stock equivalents - stock options 884,992 653,898 Shares issuable on conversion of subordinated debentures 2,344,782 2,404,382 TOTAL 37,319,289 36,910,453 Three Months Three Months ended July 31 ended July 31 1997 1996 Income before extraordinary loss per income statement $16,550,000 $ 15,413,000 Addback: Interest on convertible debentures, net of income taxes 378,000 379,000 Income before extraordinary loss (Fully diluted) $16,928,000 $ 15,792,000 Earnings per share: Primary $ 0.47 $ 0.45 Fully Diluted $ 0.45 $ 0.43 PRIMARY SHARES: Weighted average shares outstanding 34,199,823 33,908,619 Common stock equivalents - stock options 655,716 526,355 TOTAL 34,855,539 34,434,974 FULLY-DILUTED SHARES: Weighted average shares outstanding 34,199,823 33,908,619 Common stock equivalents - stock options 877,288 526,290 Shares issuable on conversion of subordinated debentures 2,344,782 2,344,782 TOTAL 37,421,893 36,779,691