1
EXHIBIT 11
PAGE 1 OF 3
THOMAS GROUP, INC.
STATEMENT REGARDING COMPUTATION OF EARNINGS PER SHARE
THREE MONTHS ENDED
MARCH 31,
-----------------------
1997 1996
---------- ----------
PRIMARY EPS
- -----------
Weighted Average Shares Outstanding ....................... 6,079,267 6,049,768
Weighted Average Options Outstanding (Table I) ............ 166,409 336,483
Weighted Average Warrants Outstanding (Table II) .......... -- --
---------- ----------
Weighted Average Shares and Share Equivalents Outstanding.. 6,245,676 6,386,251
========== ==========
Net Income ................................................ $ 612,000 $1,615,000
========== ==========
Earnings Per Common and Common Equivalent Share ........... $ 0.10 $ 0.25
========== ==========
FULLY-DILUTED EPS
- -----------------
Weighted Average Shares Outstanding ....................... 6,079,267 6,049,768
Weighted Average Options Outstanding (Table I) ............ 166,409 362,138
Weighted Average Warrants Outstanding (Table II) .......... -- --
---------- ----------
Weighted Average Shares and Share Equivalents Outstanding.. 6,245,676 6,411,906
========== ==========
Net Income ................................................ $ 612,000 $1,615,000
========== ==========
Earnings Per Common and Common Equivalent Share ........... $ 0.10 $ 0.25
========== ==========
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2
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
MARCH 31,
----------------------------
1997 1996
------------ ------------
PRIMARY EPS
- -----------
Weighted Average Options Outstanding .............................................. 1,382,262 1,261,047
Average Exercise Price ............................................................ $ 9.714 $ 9.130
------------ ------------
Exercise Proceeds ................................................................. $ 13,426,868 $ 11,513,583
============ ============
Average FMV Per Share During Period ............................................... $ 9.1455 $ 13.696
Shares Repurchased (limited to 20% of shares outstanding) ......................... (1,215,853) (840,628)
Shares Repurchased Assuming Utilization of Tax Benefit on Exercise of Non-Qualified
Options (1) ..................................................................... -- (83,936)
------------ ------------
Total Shares Repurchased .......................................................... (1,215,853) (924,564)
------------ ------------
Incremental Shares from Options ................................................... 166,409 336,483
============ ============
FULLY-DILUTED EPS
- -----------------
Weighted Average Options Outstanding .............................................. 1,382,262 1,261,047
Average Exercise Price ............................................................ $ 9.714 $ 9.130
------------ ------------
Exercise Proceeds ................................................................. $ 13,426,868 $ 11,513,583
============ ============
FMV Per Share End of Period ....................................................... $ 9.375 $ 14.250
Shares Repurchased ................................................................ (1,215,853) (807,994)
Shares Repurchased Assuming Utilization of Tax Benefit on Exercise of Non-Qualified
Options (1) .................................................................... -- (90,915)
------------ ------------
Total Shares Repurchased .......................................................... (1,215,853) (898,909)
------------ ------------
Incremental Shares from Options ................................................... 166,409 362,138
============ ============
(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
MARCH 31,
---------------------------------
1997 1996
-------------- ---------------
PRIMARY EPS
- -----------
Weighted Average Warrants
Outstanding ........................ 175,000 175,000
Exercise Price ...................... $ 15.15 $ 15.15
--------------- ---------------
Exercise Proceeds ................... $ 2,651,250 $ 2,651,250
=============== ===============
Average FMV Per Share During
Period ............................. $ 9.1455 $ 13.969
Shares Repurchased .................. -- --
--------------- ---------------
Incremental Shares from Warrants .... -- --
=============== ===============
FULLY-DILUTED EPS
- -----------------
Weighted Average Warrants
Outstanding ........................ 175,000 175,000
Exercise Price ...................... $ 15.15 $ 15.15
--------------- ---------------
Exercise Proceeds ................... $ 2,651,250 $ 2,651,250
=============== ===============
FMV Per Share End of Period ......... $ 9.375 $ 14.250
Shares Repurchased .................. -- --
--------------- ---------------
Incremental Shares from Warrants .... -- --
=============== ===============
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