Earnings Per Share

6 Months Ended

Jun. 30, 2023

The Company’s restricted stock awards contain non-forfeitable rights to dividends and therefore are considered participating securities. The Company calculates basic and diluted earnings per common share using the two-class method.

Under the two-class method, distributed and undistributed earnings allocable to participating securities are deducted from net income to determine net income allocable to common shareholders, which is then used in the numerator of both basic and diluted earnings per share calculations. Basic earnings per common share is computed by dividing net income allocable to common shareholders by the weighted average number of common shares outstanding for the reporting period, excluding outstanding participating securities. Diluted earnings per common share is computed by dividing net income allocable to common shareholders by the weighted average number of common shares outstanding over the reporting period, adjusted to include the effect of potentially dilutive common shares, but excludes awards considered participating securities. The computation of diluted earnings per common share excludes the impact of the assumed exercise or issuance of securities that would have an anti-dilutive effect.

The following tables set forth the Corporation’s earnings per share calculations for the periods indicated:


	Three Months Ended
(Dollars in thousands, except per share data)	June 30, 2023		June 30, 2022
Basic
Net income	$	57,636	$	69,803
Less: dividends and undistributed earnings allocated to participating securities	(995)		(867)
Net income allocated to common stockholders	$	56,641	$	68,936

Weighted average common shares outstanding	94,166,083		93,765,264
Basic earnings per common share	$	0.60	$	0.74

Diluted
Net income allocated to common stockholders	$	56,641	$	68,936

Weighted average common shares outstanding	94,166,083		93,765,264
Dilutive effect of share-based compensation	49,884		275,427

Weighted average diluted common shares	94,215,967		94,040,691
Diluted earnings per common share	$	0.60	$	0.73


	Six Months Ended
(Dollars in thousands, except per share data)	June 30, 2023		June 30, 2022
Basic
Net income	$	120,198	$	136,707

Less: dividends and undistributed earnings allocated to participating securities	(1,829)		(1,545)
Net income allocated to common stockholders	$	118,369	$	135,162

Weighted average common shares outstanding	94,012,799		93,633,213
Basic earnings per common share	$	1.26	$	1.44

Diluted
Net income allocated to common stockholders	$	118,369	$	135,162

Weighted average common shares outstanding	94,012,799		93,633,213
Dilutive effect of share-based compensation	179,542		349,844

Weighted average diluted common shares	94,192,341		93,983,057
Diluted earnings per common share	$	1.26	$	1.44

Shares or stock options are excluded from the computations of diluted earnings per share when their inclusion have an anti-dilutive effect. The dilutive impact of these securities could be included in future computations of diluted earnings per share if the market price of the common stock increases. For the three and six months ended June 30, 2023, there were 151,379 and 42,469 weighted average common shares that were anti-dilutive, respectively. There were no potential common shares that were anti-dilutive for the three and six months ended June 30, 2022.