Earnings per Share and Stock Repurchase Program

12 Months Ended

Dec. 31, 2023

Earnings per Share and Stock Repurchase Program

Earnings per Share and Stock Repurchase Program

(13) Earnings per Share and Stock Repurchase Program

The Class A common stock and Class B common stock have equal dividend and liquidation rights. Each share of the Company’s Class A common stock is entitled to one vote on all matters submitted to stockholders and each share of Class B common stock is entitled to ten votes on all such matters. Shares of Class B common stock are convertible into shares of Class A common stock on a one-to-one basis at the option of the holder. As of December 31, 2023, the Company had reserved a total of 1,967,652 shares of Class A common stock for issuance under its stock-based compensation plans and 5,958,290 shares for conversion of Class B common stock to Class A common stock.

Basic net income per common share is calculated by dividing net income by the weighted average number of common shares outstanding. The calculation of diluted net income per share assumes the conversion of all dilutive securities.

Net income and the number of shares used to compute net income per share, basic and assuming full dilution, are reconciled below:

	Year Ended December 31,
	2023					2022					2021
				Per					Per					Per
	Net			Share		Net			Share		Net			Share
	Income		Shares	Amount		Income		Shares	Amount		Income		Shares	Amount
	(Amounts in millions, except per share information)
Basic EPS	$	262.1	33.4	$	7.85	$	251.5	33.5	$	7.51	$	165.7	33.8	$	4.90
Dilutive securities, principally common stock options		—	0.1		(0.03)		—	0.1		(0.03)		—	0.1		(0.02)
Diluted EPS	$	262.1	33.5	$	7.82	$	251.5	33.6	$	7.48	$	165.7	33.9	$	4.88

On February 6, 2019, the Company’s Board of Directors authorized the repurchase of up to $150 million of the Company’s Class A common stock, to be purchased from time to time on the open market or in privately negotiated transactions. On July 31, 2023, the Board of Directors authorized a new stock repurchase program of up to $150 million of the Company’s Class A common stock to be purchased from time to time on the open market or in privately negotiated transactions. The Company has entered into a Rule 10b5-1 plan which permits shares to be repurchased under both stock repurchase programs when the Company might otherwise be precluded from doing so under insider trading laws. The repurchase programs may be suspended or discontinued at any time, subject to the terms of the Rule 10b5-1 plan the Company entered into with respect to the repurchase programs. As of December 31, 2023, there was approximately $12.0 million remaining authorized for share repurchases under the 2019 repurchase program. The Company had not made any share repurchases under the 2023 repurchase program as of December 31, 2023.

For the years ended December 31, 2023, 2022 and 2021, the Company repurchased 91,622 shares for $16.0 million, 493,733 shares for $69.4 million and 109,998 shares for $16.0 million, respectively.