Earnings Per Share

3 Months Ended

Mar. 31, 2024

Basic earnings per share is computed by dividing net income by the weighted-average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that would occur if securities or other contracts to issue common stock were exercised or converted into common stock; however, potential common equivalent shares are excluded if the effect of including these shares would be anti-dilutive. The Company’s two classes of common stock, Class A and Class B non-voting, have equal rights to dividends and income, and therefore, basic and diluted earnings per share are the same for each class of common stock. As of March 31, 2024, the Company did not have any Class B non-voting common stock outstanding.

Diluted earnings per share takes into account the vesting of restricted stock units using the treasury stock method. For the three months ended March 31, 2024, and 2023, the Company did not exclude any potentially dilutive securities, whose effect would have been anti-dilutive, from the computation of diluted earnings per share. The Company excluded 1,084,610 and 969,698 shares related to restricted stock units for which the performance metric had yet to be achieved as of March 31, 2024 and 2023, respectively.

The following table sets forth the reconciliation of basic and diluted earnings per share:


	Three Months Ended March 31,

	2024		2023
	(in thousands, except share and per share)
Basic earnings per share:
Numerator
Net income	$	107,866	$	128,720
Preferred stock dividends	(10,425)		(10,425)
Net income attributable to common stockholders	$	97,441	$	118,295
Denominator
Weighted-average shares outstanding	111,174,593		110,943,552
Basic earnings per share	$	0.88	$	1.07
Diluted earnings per share:
Numerator
Net income	$	107,866	$	128,720
Preferred stock dividends	(10,425)		(10,425)
Net income attributable to common stockholders	$	97,441	$	118,295
Denominator
Number of shares used in basic computation	111,174,593		110,943,552
Weighted-average effect of dilutive securities	355,177		256,444
Number of shares used in per share computation	111,529,770		111,199,996
Diluted earnings per share	$	0.87	$	1.06