1
EXHIBIT 11
PAGE 1 OF 3
THOMAS GROUP, INC.
STATEMENT REGARDING COMPUTATION OF EARNINGS PER SHARE
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30, JUNE 30,
----------------------------- -----------------------------
1996 1995 1996 1995
---------- ---------- ---------- ----------
PRIMARY EPS
- ------- ---
Weighted Average Shares Outstanding . . . . . . . . . 5,931,101 6,042,588 5,983,124 5,951,551
Weighted Average Options Outstanding (Table I) . . . 448,682 222,774 397,256 236,580
Weighted Average Warrants Outstanding (Table II) . . 16,575 -- 896 --
---------- ---------- ---------- ----------
Weighted Average Shares and Share Equivalents
Outstanding . . . . . . . . . . . . . . . . . . . 6,396,358 6,265,362 6,381,276 6,188,131
========== ========== ========== ==========
Net Income . . . . . . . . . . . . . . . . . . . . . $2,172,000 $1,880,000 $3,787,000 $3,092,000
========== ========== ========== ==========
Earnings Per Common and Common Equivalent Share . . . $0.34 $0.30 $0.59 $0.50
========== ========== ========== ==========
FULLY-DILUTED EPS
- ------------- ---
Weighted Average Shares Outstanding . . . . . . . . . 5,931,101 6,042,588 5,983,124 5,951,551
Weighted Average Options Outstanding (Table I) . . . 499,014 229,490 499,689 274,565
Weighted Average Warrants Outstanding (Table II) . . 30,226 -- 30,226 --
---------- ---------- ---------- ----------
Weighted Average Shares and Share Equivalents
Outstanding . . . . . . . . . . . . . . . . . . . 6,460,341 6,272,078 6,513,039 6,226,116
========== ========== ========== ==========
Net Income . . . . . . . . . . . . . . . . . . . . . $2,172,000 $1,880,000 $3,787,000 $3,092,000
========== ========== ========== ==========
Earnings Per Common and Common Equivalent Share . . . $ 0.34 $ 0.30 $ 0.58 $ 0.50
========== ========== ========== ==========
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EXHIBIT 11
PAGE 2 OF 3
THOMAS GROUP, INC.
STATEMENT REGARDING COMPUTATION OF EARNINGS PER SHARE
TABLE I - WEIGHTED AVERAGE OPTIONS OUTSTANDING
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30, JUNE 30,
------------------------------ ------------------------------
1996 1995 1996 1995
----------- ---------- ----------- ----------
PRIMARY EPS
- ------- ---
Weighted Average Options Outstanding . . . . . . . . 1,296,405 1,221,597 1,283,951 1,302,450
Anti-Dilution Adjustment . . . . . . . . . . . . . . . -- (553,592) (56,078) (573,152)
----------- ---------- ----------- ----------
Adjusted Shares Outstanding . . . . . . . . . . . . . . 1,296,405 668,005 1,227,873 729,298
Average Exercise Price . . . . . . . . . . . . . . . . $ 9.370 $ 5.810 $ 8.981 $ 5.232
----------- ---------- ----------- ----------
Exercise Proceeds . . . . . . . . . . . . . . . . . . . $12,151,936 $3,880,899 $11,027,004 $3,815,775
=========== ========== =========== ==========
Average FMV Per Share During Period . . . . . . . . . . $16.735 $10.241 $15.228 $9.273
Shares Repurchased (limited to 20% of shares
outstanding) . . . . . . . . . . . . . . . . . (726,122) (378,961) (742,132) (411,480)
Shares Repurchased Assuming Utilization of Tax Benefit
on Exercise of Non-Qualified Options (1) . . . (121,601) (66,271) (106,486) (81,239)
----------- ---------- ----------- ----------
Total Shares Repurchased . . . . . . . . . . . . . . . (847,723) (445,231) (830,618) (492,718)
----------- ---------- ----------- ----------
Incremental Shares from Options . . . . . . . . . . . . 448,682 222,774 397,256 236,580
=========== ========== =========== ==========
FULLY-DILUTED EPS
- ------------- ---
Weighted Average Options Outstanding . . . . . . . . . 1,296,405 1,221,597 1,283,951 1,302,450
Anti-Dilution Adjustment . . . . . . . . . . . . . . . -- (543,731) (348) (547,919)
----------- ---------- ----------- ----------
Adjusted Shares Outstanding . . . . . . . . . . . . . . 1,296,405 677,866 1,283,604 754,531
Average Exercise Price . . . . . . . . . . . . . . . . $ 9.370 $ 5.896 $ 9.268 $ 5.419
----------- ---------- ----------- ----------
Exercise Proceeds . . . . . . . . . . . . . . . . . . . $12,151,936 $3,996,969 $11,892,209 $4,088,743
=========== ========== =========== ==========
FMV Per Share End of Period . . . . . . . . . . . . . $18.313 $10.50 $18.313 $10.50
Shares Repurchased (limited to 20% of shares
outstanding) . . . . . . . . . . . . . . . . . . . (660,956) (380,711) (646,798) (391,570)
Shares Repurchased Assuming Utilization of Tax Benefit
on Exercise of Non-Qualified Options (1) . . . (136,435) (67,664) (137,117) (88,396)
----------- ---------- ----------- ----------
Total Shares Repurchased . . . . . . . . . . . . . . . (797,391) (448,375) (783,915) (479,966)
---------- ---------- ----------- ----------
Incremental Shares from Options . . . . . . . . . . . . 499,014 229,490 499,689 274,565
========== ========== ========== ==========
(1) Non-qualified options generate a tax deduction for the Company in the
amount of the employee's taxable gain, if any, on exercise. The savings in
taxes payable are also assumed to be used to purchase outstanding shares of
common stock.
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3
EXHIBIT 11
PAGE 3 OF 3
THOMAS GROUP, INC.
STATEMENT REGARDING COMPUTATION OF EARNINGS PER SHARE
TABLE II - WEIGHTED AVERAGE WARRANTS OUTSTANDING
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30, JUNE 30,
----------------------------- -------------------------------
1996 1995 1996 1995
---------- ---------- ---------- ----------
PRIMARY EPS
- -----------
Weighted Average Warrants Outstanding . . . . . . . . 175,000 175,000 175,000 175,000
Exercise Price . . . . . . . . . . . . . . . . . . . $ 15.15 $ 15.15 $ 15.15 $ 15.15
---------- ---------- ---------- ----------
Exercise Proceeds . . . . . . . . . . . . . . . . . . $2,651,250 $2,651,250 $2,651,250 $2,651,250
========== ========== ========== ==========
Average FMV Per Share During Period . . . . . . . . . $ 16.735 $ 9.931 $ 15.228 $ 9.104
Shares Repurchased . . . . . . . . . . . . . . . . . 158,425 -- 174,104 --
---------- ---------- ---------- ----------
Incremental Shares from Warrants . . . . . . . . . . 16,575 -- 896 --
========== ========== ========== ==========
FULLY-DILUTED EPS
- -----------------
Weighted Average Warrants Outstanding 175,000 175,000 175,000 175,000
Exercise Price $ 15.15 $ 15.15 $ 15.15 $ 15.15
---------- ---------- ---------- ----------
Exercise Proceeds $2,651,250 $2,651,250 $2,651,250 $2,651,250
========== ========== ========== ==========
FMV Per Share End of Period $ 18.313 $ 10.50 $ 18.313 $ 10.50
Shares Repurchased 144,774 -- 144,774 --
---------- ---------- ---------- ----------
Incremental Shares from Warrants 30,226 -- 30,226 --
========== ========== ========== ==========
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