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Common Stock and Earnings per Share | 12 Months Ended
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Dec. 31, 2020
Earnings Per Share [Abstract] |
Common Stock and Earnings per Share |
9. | Common Stock and Earnings per Share
Shares of the Company's two classes of common stock are traded on the NYSE under the symbols CRD-A and CRD-B, respectively. The Company's two classes of stock are substantially identical, except with respect to voting rights and the Company's ability to pay greater cash dividends on the non-voting Class A Common Stock than on the voting Class B Common Stock, subject to certain limitations. In addition, with respect to mergers or similar transactions, holders of Class A Common Stock must receive the same type and amount of consideration as holders of Class B Common Stock, unless different consideration is approved by the holders of 75% of the Class A Common Stock, voting as a class. As described in Note 11, "Stock-Based Compensation," certain shares of CRD-A are issued with restrictions under incentive compensation plans. The Company's share repurchase authorization, approved in July 2017 (the "2017 Repurchase Authorization"), provided the Company with the ability to repurchase up to 2,000,000 shares of CRD-A or CRD-B (or both). The 2017 Repurchase Authorization was terminated on May 8, 2019. Effective May 9, 2019, the Company's Board of Directors authorized the repurchase of up to 2,000,000 shares of CRD-A or CRD-B (or a combination of the two) through December 31, 2020 (the "2019 Repurchase Authorization"). On December 10, 2020, the Company’s Board of Directors extended the termination date of the Company’s 2019 share repurchase authorization (“2019 Repurchase Authorization”) to December 31, 2021. Under the 2019 Repurchase Authorization, repurchases may be made for cash, in the open market or privately negotiated transactions at such times and for such prices as management deems appropriate, subject to applicable contractual and regulatory restrictions. Through December 31, 2020, the Company had repurchased 155,351 shares of CRD-A and 161,459 shares of CRD-B at an average cost of $8.42. At December 31, 2020, the Company had remaining authorization to repurchase 642,097 shares under the 2019 Repurchase Authorization. Through December 31, 2019, the Company had repurchased 1,103,398 shares of CRD-A and 1,736,011 shares of CRD-B at an average cost of $9.33 and $9.17, respectively, of which 421,427 shares of CRD-A and 1,376,889 shares of CRD-B were purchased pursuant to a stock purchase agreement authorized by the Board of Directors separate from the 2017 Repurchase Authorization and the 2019 Repurchase Authorization. At December 31, 2019, the Company had remaining authorization to repurchase 958,907 shares under the 2019 Repurchase Authorization. Net Income Attributable to Shareholders of Crawford & Company per Common Share The Company computes earnings per share of CRD-A and CRD-B using the two-class method, which allocates the undistributed earnings for each period to each class on a proportionate basis. The Company's Board of Directors has the right, but not the obligation, to declare higher dividends on CRD-A than on CRD-B, subject to certain limitations. In periods when the dividend is the same for CRD-A and CRD-B or when no dividends are declared or paid to either class, the two-class method generally will yield the same earnings per share for CRD-A and CRD-B. During 2020, 2019 and 2018, the Board of Directors declared a higher dividend on CRD-A than on CRD-B. The computations of basic net income attributable to shareholders of Crawford & Company per common share were as follows:
Year Ended December 31, |  | 2020 |  |  | 2019 |  |  | 2018 |
|  | CRD-A |  |  | CRD-B |  |  | CRD-A |  |  | CRD-B |  |  | CRD-A |  |  | CRD-B |
|  | (In thousands, except earnings per share) |
Earnings per share - basic: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Numerator: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Allocation of undistributed earnings (loss) |  | $ | 10,743 |  |  | $ | 7,908 |  |  | $ | (392 | ) |  | $ | (294 | ) |  | $ | 6,941 |  |  | $ | 5,509 |
Dividends paid |  |  | 5,815 |  |  |  | 3,830 |  |  |  | 8,592 |  |  |  | 4,579 |  |  |  | 8,639 |  |  |  | 4,889 |
Net income available to common shareholders, basic |  |  | 16,558 |  |  |  | 11,738 |  |  |  | 8,200 |  |  |  | 4,285 |  |  |  | 15,580 |  |  |  | 10,398 |
Denominator: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Weighted-average common shares outstanding, basic |  |  | 30,605 |  |  |  | 22,527 |  |  |  | 30,637 |  |  |  | 22,975 |  |  |  | 30,805 |  |  |  | 24,449 |
Earnings per share - basic |  | $ | 0.54 |  |  | $ | 0.52 |  |  | $ | 0.27 |  |  | $ | 0.19 |  |  | $ | 0.51 |  |  | $ | 0.43 |
The computations of diluted net income attributable to shareholders of Crawford & Company per common share were as follows:
Year Ended December 31, |  | 2020 |  |  | 2019 |  |  | 2018 |
|  | CRD-A |  |  | CRD-B |  |  | CRD-A |  |  | CRD-B |  |  | CRD-A |  |  | CRD-B |
|  | (In thousands, except earnings per share) |
Earnings per share - diluted: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Numerator: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Allocation of undistributed earnings (loss) |  | $ | 10,781 |  |  | $ | 7,870 |  |  | $ | (394 | ) |  | $ | (292 | ) |  | $ | 7,003 |  |  | $ | 5,447 |
Dividends paid |  |  | 5,815 |  |  |  | 3,830 |  |  |  | 8,592 |  |  |  | 4,579 |  |  |  | 8,639 |  |  |  | 4,889 |
Net income available to common shareholders, diluted |  |  | 16,596 |  |  |  | 11,700 |  |  |  | 8,198 |  |  |  | 4,287 |  |  |  | 15,642 |  |  |  | 10,336 |
Denominator: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Weighted-average common shares outstanding, basic |  |  | 30,605 |  |  |  | 22,527 |  |  |  | 30,637 |  |  |  | 22,975 |  |  |  | 30,805 |  |  |  | 24,449 |
Weighted-average effect of dilutive securities (1) |  |  | 252 |  |  |  | — |  |  |  | 453 |  |  |  | — |  |  |  | 629 |  |  |  | — |
Weighted-average number of shares outstanding, diluted |  |  | 30,857 |  |  |  | 22,527 |  |  |  | 31,090 |  |  |  | 22,975 |  |  |  | 31,434 |  |  |  | 24,449 |
Earnings per share - diluted |  | $ | 0.54 |  |  | $ | 0.52 |  |  | $ | 0.26 |  |  | $ | 0.19 |  |  | $ | 0.50 |  |  | $ | 0.42 |
Listed below are the shares excluded from the denominator in the above computation of diluted earnings per share for CRD-A because their inclusion would have been anti-dilutive:
Year Ended December 31, |  | 2020 |  |  | 2019 |  |  | 2018 |
|  | (In thousands) |
Shares underlying stock options excluded due to the options' respective exercise prices being greater than the average stock price during the period |  |  | 1,996 |  |  |  | 622 |  |  |  | 1,175 |
Performance stock grants excluded because performance conditions had not been met (1) |  |  | 578 |  |  |  | 717 |  |  |  | 752 |
(1) | Compensation cost is recognized for these performance stock grants based on expected achievement rates; however no consideration is given for these performance stock grants when calculating earnings per share until the performance measurements are actually achieved.

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- Definition The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(e)(1)) -URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.3-04) -URI http://asc.fasb.org/extlink&oid=120397183&loc=d3e187085-122770 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 505 -URI http://asc.fasb.org/topic&trid=2208762 + Details
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