EARNINGS PER SHARE

12 Months Ended

Dec. 31, 2023

Earnings per basic and diluted share are calculated under the treasury stock method. Basic net income per common share is calculated by dividing net income by the basic weighted-average common shares outstanding for the respective period. Diluted net income per common share is calculated by dividing net income by the diluted weighted-average common shares outstanding, which includes the effect of potentially dilutive securities. Potentially dilutive securities consist of unvested RSUs, DSUs, PSUs as well as outstanding in-the-money stock options and warrants. When we recognize a loss from continuing operations, all potentially dilutive shares are anti-dilutive and are consequently excluded from the calculation of diluted earnings per share.

As discussed in Note 7 - Stock-Based Compensation, PSUs represent the right to receive a number of shares of our common stock ranging from zero to 225% (or, for PSUs granted prior to fiscal year 2023, 200%) of PSUs granted based on the performance achievement over the applicable performance period. The number of potentially dilutive shares related to PSUs is based on the number of shares, if any, that would be issuable at the end of the respective reporting period, assuming that date was the end of the performance period applicable to such awards.

We have also issued stock options and warrants, which both represent the right to purchase our common stock at a specified exercise price. The number of potentially dilutive shares related to the stock options and warrants is based on the number of shares, if any, that would be exercisable at the end of the respective reporting period, assuming that date was the end of such stock options’ or warrants’ term. Stock options and warrants are only dilutive when the average price of the common stock during the period exceeds the exercise price.

The following table sets forth the calculations of basic and diluted net earnings per common share (in thousands, except per share amounts):


	Year Ended December 31,
	2023		2022		2021
Net income	$	784,288	$	1,248,080	$	178,921

Basic earnings per common share	$	9.09	$	14.68	$	4.82
Diluted earnings per common share	$	9.02	$	14.58	$	4.74

Weighted-average shares outstanding - basic	86,240		85,005		37,155
Add: dilutive effect of stock awards	748		599		591
Weighted-average shares outstanding - diluted	86,988		85,604		37,746

There were 10,948, 20,699, and 178,051 unvested awards that were anti-dilutive for the years ended December 31, 2023, 2022, and 2021 respectively. The exercise price of our warrants was in excess of our stock price during the years ended December 31, 2023, 2022, and 2021; therefore, they were excluded from the earnings per share calculation.