Earnings Per Share

12 Months Ended

Dec. 31, 2023

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. The shares of restricted stock are both potential shares of common stock and participating securities so the Company calculates diluted earnings per share by using the more dilutive of the treasury stock method or the two-class method. The calculation of EPS for the net income available to common shareholders excludes the distribution of dividends and the undistributed earnings attributable to the 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 was as follows:


	Year Ended December 31,
(in thousands, except per share amounts)	2023		2022		2021
Numerator:
Net income	$	258,507	$	332,152	$	288,957
Income allocated to participating securities	(1,379)		(1,881)		(1,125)
Net income available to common shareholders	$	257,128	$	330,271	$	287,832
Denominator:
Weighted average shares of common stock outstanding - basic	50,341		54,595		55,379
Basic earnings per share	$	5.11	$	6.05	$	5.20

Numerator:
Net income	$	258,507	$	332,152	$	288,957
Income allocated to participating securities	(1,379)		(1,881)		(1,125)
Net income available to common shareholders	$	257,128	$	330,271	$	287,832
Denominator:
Weighted average shares of common stock outstanding - basic	50,341		54,595		55,379
Dilutive effect of stock options, PVRSUs, and RSUs	359		526		504
Weighted average shares of common stock outstanding - diluted	50,700		55,121		55,883


Diluted earnings per share	$	5.07	$	5.99	$	5.15

The following securities have been excluded from the calculation of diluted weighted average shares of common stock outstanding because the inclusion of these securities would have an anti-dilutive effect:


	Year Ended December 31,
(in thousands)	2023	2022	2021
Stock options	232	153	—
PVRSUs	71	—	155