Earnings per Share

3 Months Ended

Mar. 31, 2026


7.			Earnings per Share

Basic earnings per share is computed by dividing net income by the weighted average number of shares of common stock and vested DSUs outstanding during the year. The computation of diluted earnings per share is similar to the computation of basic earnings per share, except that diluted earnings per share includes the assumed exercise of dilutive options, the assumed issuance of unvested RSUs, performance-based awards for which the performance condition has been met as of the date of determination, and contingently issuable shares that would be issuable if the end of the reporting period was the end of the contingency period, using the treasury stock method unless the effect is anti-dilutive. The treasury stock method assumes that proceeds, including cash received from the exercise of employee stock options and the average unrecognized compensation expense for unvested share-based compensation awards, would be used to purchase the Company’s common stock at the average market price during the period.

The following table presents net income and reconciles basic and diluted shares outstanding used in the earnings per share computations:


	Three Months Ended March 31,
(in millions)	2026		2025
Net income	$	77.7	$	71.5

Weighted average common shares outstanding – Basic	34.5		38.9
Dilutive impact of share-based compensation awards(1)	0.6		0.5

Weighted average common shares outstanding – Diluted	35.0		39.4

(1)For the three months ended March 31, 2026 and 2025, 0.7 million and 0.6 million, respectively, of outstanding share-based compensation awards were excluded from the computation of diluted earnings per share under the treasury stock method, as the effect of including those shares would be anti-dilutive.