XML 27 R16.htm IDEA: XBRL DOCUMENT
v3.24.1.u1

Stock-Based Compensation | 3 Months Ended
--- | ---
Mar. 31, 2024
Share-Based Payment Arrangement [Abstract] |
Stock-Based Compensation | Stock-Based Compensation We grant stock-based compensation awards, including restricted stock units, phantom stock, and unrestricted stock units, under the Second Amended and Restated 2010 Stock Incentive Plan (Stock Incentive Plan). Prior to December 31, 2020, stock options were also granted as part of the stock-based compensation awards. In the Stock Incentive Plan, we have 10,357,273 shares of common stock authorized for issuance subject to stock splits, dividends, and other similar events, and at March 31, 2024, 982,319 shares were available for grant. We issue new shares of common stock upon the exercise of stock options or when vesting conditions on restricted stock units are fully satisfied. These shares are subject to a fungible share provision such that the authorized share available for grant is reduced by (i) one share for every one share subject to a stock option or share appreciation right granted under the Plan and (ii) 1.7 shares for every one share of common stock that was subject to an award other than an option or share appreciation right. We also award phantom stock units, which are settled in cash upon vesting and accounted for as liability-based awards, with no impact to the shares available for grant. In addition, we maintain the Employee Stock Purchase Plan (ESPP), for which 510,025 shares of common stock were available for future issuance at March 31, 2024. ESPP activity and stock-based grants other than stock options and restricted stock units were not significant for the three months ended March 31, 2024 and 2023. Stock-Based Compensation Expense Total stock-based compensation expense and the related tax benefit were as follows:
|  |  | Three Months Ended March 31,
In thousands |  |  |  |  | 2024 |  | 2023
Stock options |  |  |  |  | $ | — |  |  | $ | 60 |
Restricted stock units |  |  |  |  | 11,093 |  |  | 6,583 |
Unrestricted stock awards |  |  |  |  | 336 |  |  | 276 |
Phantom stock units |  |  |  |  | 1,449 |  |  | 777 |
Total stock-based compensation |  |  |  |  | $ | 12,878 |  |  | $ | 7,696 |
Related tax benefit |  |  |  |  | $ | 2,799 |  |  | $ | 1,703 |
Stock Options A summary of our stock option activity is as follows:
| Shares |  | Weighted Average Exercise Price per Share |  | Weighted Average Remaining Contractual Life |  | Aggregate Intrinsic Value |  | Weighted Average Grant Date Fair Value
| In thousands |  |  |  | Years |  | In thousands |  |
Outstanding, January 1, 2023 | 381 |  |  | $ | 60.63 |  |  | 4.8 |  | $ | 1,892 |  |  |
Granted | — |  |  | — |  |  |  |  |  |  | $ | — |
Exercised | — |  |  | — |  |  |  |  | — |  |  |
Forfeited | — |  |  | — |  |  |  |  |  |  |
Canceled | — |  |  | — |  |  |  |  |  |  |
Outstanding, March 31, 2023 | 381 |  |  | $ | 60.63 |  |  | 4.6 |  | $ | 2,549 |  |  |
Outstanding, January 1, 2024 | 363 |  |  | $ | 61.36 |  |  | 4.0 |  | $ | 5,886 |  |  |
Granted | — |  |  | — |  |  |  |  |  |  | $ | — |
Exercised | (19) |  |  | 44.61 |  |  |  |  | 769 |  |  |
Forfeited | — |  |  | — |  |  |  |  |  |  |
Canceled | — |  |  | — |  |  |  |  |  |  |
Outstanding, March 31, 2024 | 344 |  |  | $ | 62.27 |  |  | 3.8 |  | $ | 10,419 |  |  |
Exercisable, March 31, 2024 | 344 |  |  | $ | 62.27 |  |  | 3.8 |  | $ | 10,419 |  |  |
At March 31, 2024, all stock-based compensation expense related to nonvested stock options has been recognized. Restricted Stock Units The following table summarizes restricted stock unit activity:
In thousands, except fair value | Number of Restricted Stock Units |  | Weighted Average Grant Date Fair Value |  | Aggregate Intrinsic Value
Outstanding, January 1, 2023 | 528 |  |  |  |  |
Granted | 411 |  |  | $ | 55.59 |  |  |
Released (1) | (202) |  |  |  |  | $ | 14,897 |
Forfeited | (12) |  |  |  |  |
Outstanding, March 31, 2023 | 725 |  |  |  |  |
Outstanding, January 1, 2024 | 751 |  |  | $ | 58.89 |  |  |
Granted | 397 |  |  | 74.85 |  |  |
Released (1) | (306) |  |  | 63.99 |  |  | $ | 22,962 |
Forfeited | (6) |  |  | 59.21 |  |  |
Outstanding, March 31, 2024 | 836 |  |  | 65.18 |  |  |
Vested but not released, March 31, 2024 | 16 |  |  |  |  | $ | 1,496 |
(1) Shares released is presented as gross shares and does not reflect shares withheld by us for employee payroll tax obligations. At March 31, 2024, total unrecognized compensation expense on restricted stock units was $71.0 million, which is expected to be recognized over a weighted average period of approximately 2.0 years. The weighted average assumptions used to estimate the fair value of performance-based restricted stock units granted with a service and market condition and the resulting weighted average fair value are as follows:
|  |  | Three Months Ended March 31,
|  |  |  |  | 2024 |  | 2023
Expected volatility |  |  |  |  | 45.7 | % |  | 50.0 | %
Risk-free interest rate |  |  |  |  | 4.4 | % |  | 4.6 | %
Expected term (years) |  |  |  |  | 2.9 |  | 2.2
Weighted average fair value |  |  |  |  | $ | 83.26 |  |  | $ | 59.22 |

X
- Definition The entire disclosure for share-based payment arrangement. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Topic 718 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a)(1) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 718 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//718/tableOfContent Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 718 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 718 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (h)(2) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 718 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (h)(2)(i) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 718 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (l) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480429/718-10-50-2 + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_DisclosureOfCompensationRelatedCostsSharebasedPaymentsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration