Earnings Per Share
Table 4.1 reconciles basic and diluted EPS amounts:
Earnings Per Share
Table
4.1
Years Ended December 31,
(In thousands, except per share data)202520242023
Basic earnings per share:
Net income$738,347 $762,994 $712,949 
Weighted average common shares outstanding - basic232,975 261,684 283,605 
Basic earnings per share$3.17 $2.92 $2.51 
Diluted earnings per share:
Net Income$738,347 $762,994 $712,949 
Interest expense, net of tax (1):
9% Debentures — 1,026 
Diluted income available to common shareholders$738,347 $762,994 $713,975 
Weighted-average shares - basic232,975 261,684 283,605 
Effect of dilutive securities:
Unvested restricted stock units2,124 2,311 2,427 
9% Debentures — 1,123 
Weighted average common shares outstanding - diluted235,099 263,995 287,155 
Diluted income per share$3.14 $2.89 $2.49 
(1) Interest expense has been tax effected at a rate of 21%.

Prior to our redemption of the outstanding principal on our 9% debentures in 2023, we utilized the if-converted method to calculate the potential dilution that could occur if our 9% Debentures were converted to common stock. Under this method, if dilutive, the common stock related to the outstanding 9% Debentures was assumed to be issued as of the beginning of the reporting period and the related interest expense, net of tax, was added back to earnings in calculating diluted EPS. In 2023, under the terms of our 9% Debentures, we exercised our option to redeem the outstanding principal. (See Note 3 - "Debt".)

Historical Timeline

Fiscal YearFiled
2025Feb 25, 2026Showing above
2024Feb 26, 2025
2023Feb 21, 2024
2022Feb 22, 2023
2021Feb 23, 2022
2020Feb 23, 2021
2019Feb 24, 2020
2018Feb 22, 2019
2017Feb 23, 2018
2016Feb 21, 2017

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.