Income Per Share

9 Months Ended

Sep. 30, 2023

Numerator:

Income Per Share

5. INCOME PER SHARE:

The computation of basic and diluted earnings per common share is as follows (in thousands, except per share data):

		Three Months Ended				Nine Months Ended
		September 30,				September 30,
		2023		2022		2023		2022
Numerator:
Net income available to common stockholders	$	41,227	$	45,241	$	169,090	$	70,904
Net (income) loss attributable to noncontrolling interest in consolidated joint venture		(715)		1,887		1,656		—
Net income available to common stockholders - if-converted method	$	40,512	$	47,128	$	170,746	$	70,904
Denominator:
Weighted average shares outstanding - basic		59,707		55,159		57,089		55,132
Effect of dilutive stock-based compensation		225		178		238		197
Effect of dilutive put rights		3,688		3,978		4,064		—
Weighted average shares outstanding - diluted		63,620		59,315		61,391		55,329
Basic income per share available to common stockholders	$	0.69	$	0.82	$	2.96	$	1.29
Diluted income per share available to common stockholders	$	0.64	$	0.79	$	2.78	$	1.28

As more fully discussed in Note 1 to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, although currently not exercisable, the OEG Investor has certain put rights (the “OEG Put Rights”) to require the Company to purchase the OEG Investor’s equity interest in OEG, which the Company may pay in cash or Company stock, at the Company’s option. The Company calculated potential dilution for the OEG Put Rights based on the if-converted method, which assumes the OEG Put Rights were converted on the first day of the period or the date of issuance and the OEG Investor’s noncontrolling equity interest was redeemed in exchange for shares of the Company’s common stock.

The operating partnership units (“OP Units”) held by the noncontrolling interest holders in RHP Hotel Properties, LP (the “Operating Partnership”) have been excluded from the denominator of the diluted income per share calculation for the three and nine months ended September 30, 2023 and 2022 as there would be no effect on the calculation of diluted income per share because the income attributable to the OP Units held by the noncontrolling interest holders would also be subtracted to derive net income available to common stockholders.