Stockholders' Equity

6 Months Ended

Jun. 30, 2022

Equity [Abstract]

Stockholders' Equity

12. STOCKHOLDERS’ EQUITY

Earnings Per Share

The following table sets forth the computation of basic and diluted earnings per share (in thousands, except share and per share data):​​​​​​​​​​​​​​

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Numerator:
Net income available to common shareholders	$	88,916	$	61,366	$	160,127	$	109,910
Denominator:
Basic weighted average shares outstanding		113,099,561		115,362,757		113,864,741		115,512,231
Effect of dilutive securities:
Stock appreciation rights and options		96,179		193,466		110,253		200,263
Restricted stock		63,774		106,403		77,453		126,689
Diluted weighted average shares outstanding		113,259,514		115,662,626		114,052,447		115,839,183
Basic earnings per share	$	0.79	$	0.53	$	1.41	$	0.95
Diluted earnings per share	$	0.79	$	0.53	$	1.40	$	0.95

Diluted earnings per share is computed using the weighted average number of shares determined for the basic earnings per share computation plus the dilutive effect of common stock equivalents using the treasury stock method. The computation of diluted earnings per share excludes the following potentially dilutive securities because the effect would be anti-dilutive:​​​​​​​

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Stock appreciation rights		47,303		15,029		38,789		11,105
Restricted stock		63,131		—		38,823		11,540

Stock Repurchase Program

On February 16, 2018, the Trex Board of Directors adopted a stock repurchase program of up to 11.6 million shares of its outstanding common stock (Stock Repurchase Program). As of June 30, 2022, Trex has repurchased 7.3 million shares of its outstanding common stock under the Stock Repurchase Program.

First Certificate of Amendment to the Restated Certificate of Incorporation

At the annual meeting of stockholders of Trex held on May 5, 2022, its stockholders approved an amendment of the Trex Restated Certificate of Incorporation (Amendment), effective as of May 5, 2022. The Board of Directors of Trex unanimously approved the Amendment on February 23, 2022, subject to stockholder approval. The Amendment increases the number of shares of common stock, par value $.01 per share, that Trex is authorized to issue from 180 million shares to 360 million shares. The Amendment was filed with the Delaware Secretary of State on May 5, 2022.