Exhibit 11
THE TORO COMPANY AND SUBSIDIARIES
COMPUTATION OF EARNINGS PER COMMON SHARE (UNAUDITED)
(DOLLARS IN THOUSANDS, EXCEPT PER-SHARE DATA)
Three Months Ended Nine Months Ended
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August 1, August 2, August 1, August 2,
1997 1996 1997 1996
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Net earnings before extraordinary loss . . . . . . . . . . $ 9,949 $ 6,465 $ 31,480 $ 31,783
Extraordinary loss, net of income tax benefit of
$1,087 . . . . . . . . . . . . . . . . . . . . . . . . . (1,663) - (1,663) -
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Net earnings . . . . . . . . . . . . . . . . . . . . . . . $ 8,286 $ 6,465 $ 29,817 $ 31,783
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Primary:
Shares of common stock and common
stock equivalents:
Weighted average number of common shares
outstanding . . . . . . . . . . . . . . . . . . . 12,078,431 12,108,554 12,079,763 12,183,841
Dilutive effect of outstanding
stock options (1). . . . . . . . . . . . . . . . 342,662 398,235 368,049 424,403
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12,421,093 12,506,789 12,447,812 12,608,244
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Net earnings per share of common stock
and common stock equivalent before
extraordinary loss,. . . . . . . . . . . . . . . $ 0.80 $ 0.52 $ 2.53 $ 2.52
Extraordinary loss, net of income tax benefit . . . (0.13) - (0.13) -
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Net earnings per share of common stock
and common stock equivalent . . . . . . . . . . $ 0.67 $ 0.52 $ 2.40 $ 2.52
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Fully Diluted:
Shares of common stock and common
stock equivalents:
Weighted average number of common shares
outstanding. . . . . . . . . . . . . . . . . . . 12,078,431 12,108,554 12,079,763 12,183,841
Dilutive effect of outstanding
stock options (2). . . . . . . . . . . . . . . . 344,100 398,235 396,994 424,403
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12,422,531 12,506,789 12,476,757 12,608,244
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Net earnings per share of common stock
and common stock equivalent before
extraordinary loss. . . . . . . . . . . . . . . $ 0.80 $ 0.52 $ 2.52 $ 2.52
Extraordinary loss, net of income tax benefit . . . (0.13) - (0.13) -
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Net earnings per share of common stock
and common stock equivalent. . . . . . . . . . $ 0.67 $ 0.52 $ 2.39 $ 2.52
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1) Outstanding stock options and options exercised in the current period are
converted to common stock equivalents by the treasury stock method using
the average market price of the company's stock during each period.
2) Outstanding stock options and options exercised in the current period are
converted to common stock equivalents by the treasury stock method using
the greater of the average market price or the period-end market price of
the company's stock during each period.
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