Earnings Per Share

3 Months Ended

Mar. 31, 2024

The Company uses the two-class method of calculating earnings per share because certain of the Company’s unvested stock-based awards qualify as participating securities.

The Company’s basic earnings (loss) per share attributable to common stockholders is computed as (i) net income (loss) as reported, (ii) less participating basic earnings (iii) divided by weighted average basic common shares outstanding. The Company’s diluted earnings (loss) per share attributable to common stockholders is computed as (i) basic earnings (loss) attributable to common stockholders, (ii) plus reallocation of participating earnings (iii) divided by weighted average diluted common shares outstanding.

The following table presents the basic and diluted earnings per share computations for the three months ended March 31, 2024 and 2023:


	Three Months Ended March 31,
(in thousands)	2024		2023
Net income	$	16,227	$	36,866
Participating basic earnings (a)	(41)		(22)
Basic earnings attributable to common stockholders	16,186		36,844
Reallocation of participating earnings	—		—
Diluted earnings attributable to common stockholders	$	16,186	$	36,844

Weighted average common shares outstanding:
Weighted average common shares outstanding – basic	130,136		133,002
Dilutive performance stock units	17		—
Dilutive stock options	7		—
Weighted average common shares outstanding – diluted	130,160		133,002

Net income per common share:
Basic	$	0.12	$	0.28
Diluted	$	0.12	$	0.28
(a) Unvested restricted stock awards represent participating securities because they participate in nonforfeitable dividends or distributions with the common equity holders of the Company. Participating earnings represent the distributed and undistributed earnings of the Company attributable to the participating securities. Unvested restricted stock awards do not participate in undistributed net losses as they are not contractually obligated to do so.

Prior to the Warrant Exchange, the warrants were out-of-the-money and were not included in the computation of the diluted earnings per share. As a result of the Warrant Exchange, no warrants remained outstanding at March 31, 2024. Diluted net earnings per share for the three months ended March 31, 2023 excluded 10,349,975 common stock warrants outstanding.

The following table is a summary of the PSUs and stock options, which were not included in the computation of diluted earnings per share, as inclusion of these items would be antidilutive.


	Three Months Ended March 31,
	2024	2023
Number of antidilutive common shares:
Antidilutive performance stock units	49,713	4,796
Antidilutive stock options	423,538	47,924
Total antidilutive common shares	473,251	52,720