FIRST INTERSTATE BANCSYSTEM INCFIBK

FIRST INTERSTATE BANCSYSTEM INC Earnings Per Share Disclosure

10-KFiled Feb 26, 20261 min read
EARNINGS PER COMMON SHARE
Earnings per share is calculated using both the two-class and the treasury stock methods with the more dilutive method used to determine reported basic and diluted earnings per share. Basic earnings per common share is calculated by dividing net income by the weighted average number of common shares outstanding during the period presented, excluding unvested restricted stock. Diluted earnings per share is calculated by dividing net income by the weighted average number of common shares determined for the basic earnings per share computation plus the dilutive effects of stock-based compensation using the treasury stock method for all periods presented.
The following table sets forth the computation of basic and diluted earnings per share for the periods presented:
Year Ended December 31,202520242023
Net income$302.1 $226.0 $257.5 
Weighted average common shares outstanding for basic earnings per share computation
102,569,649 102,978,301 103,752,206 
Dilutive effects of stock-based compensation
260,880 212,563 27,897 
Weighted average common shares outstanding for diluted earnings per common share computation
102,830,529 103,190,864 103,780,103 
Basic earnings per common share$2.95 $2.19 $2.48 
Diluted earnings per common share2.94 2.19 2.48 
Anti-dilutive unvested time restricted stock
3,899 71,728 119,144 
The Company had 749,293, 809,865, and 908,476 shares of unvested restricted stock as of December 31, 2025, 2024, and 2023, respectively, that were not included in the computation of diluted earnings per common share because performance conditions for vesting had not been met.

About Earnings Per Share Disclosures

The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.

Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.

Other Available Disclosures

Income TaxesRevenueFair ValuePP&EGoodwill & IntangiblesDebtCommitmentsStock CompensationNew Standards