Earnings Per Share

9 Months Ended

Sep. 30, 2021

The Company’s shares of restricted stock contain rights to receive nonforfeitable dividends and thus are participating securities requiring the computation of basic earnings per share (“EPS”) using the two-class method. As the shares of restricted stock are both potential shares of common stock and participating securities, the Company calculates diluted earnings per share by the more dilutive of the treasury stock method or the two-class method. The calculation of EPS for net income available to common shareholders excludes the distribution of dividends and undistributed earnings attributable to participating securities from the numerator. The diluted earnings weighted average shares of common stock outstanding includes stock options, PVRSUs and RSUs.

The computation of basic and diluted earnings per share of common stock is as follows:


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(in thousands, except per share amounts)	2021		2020		2021		2020
Numerator:
Net income	$	116,655	$	14,500	$	224,874	$	67,522
(Income) loss allocated to participating securities	(420)		(78)		(910)		(378)
Net income (loss) available to common shareholders	$	116,235	$	14,422	$	223,964	$	67,144
Denominator:
Weighted average shares of common stock outstanding – basic	55,427		55,106		55,360		55,167
Basic earnings per share	$	2.10	$	0.26	$	4.05	$	1.22

Numerator:
Net income	$	116,655	$	14,500	$	224,874	$	67,522
(Income) loss allocated to participating securities	(420)		(78)		(910)		(377)
Net income (loss) available to common shareholders	$	116,235	$	14,422	$	223,964	$	67,145
Denominator:
Weighted average shares of common stock outstanding – basic	55,427		55,106		55,360		55,167
Dilutive effect of stock options and PVRSUs	478		304		429		273
Weighted average shares of common stock outstanding – diluted	55,905		55,410		55,789		55,440
Diluted earnings per share	$	2.08	$	0.26	$	4.01	$	1.21

The following securities have been excluded from the calculation of diluted weighted average shares of common stock outstanding as the inclusion of these securities would have an anti-dilutive effect or the performance or market conditions have not been met:


	Three Months Ended		Nine Months Ended
	September 30,		September 30,
(in thousands)	2021	2020	2021	2020
Stock options	—	155	—	155
PVRSUs	155	234	155	234