REPUBLIC BANCORP INC /KY/ Earnings Per Share Disclosure
19. | EARNINGS PER SHARE |
The Company calculates EPS under the two-class method. Under the two-class method, earnings available to common shareholders for the period are allocated between Class A Common Stock and Class B Common Stock according to dividends declared (or accumulated) and participation rights in undistributed earnings. The difference in EPS between the two classes of common stock results from the 10% per share cash dividend premium paid on Class A Common Stock over that paid on Clas B Common Stock. For additional information, see the Footnote titled “Stockholders’ Equity and Regulatory Capital Matters” in this section of the report.
A reconciliation of the combined Class A and Class B Common Stock numerators and denominators of the EPS and diluted EPS computations follows:
(in thousands, except per share data) | | 2025 | | 2024 | | 2023 | |||
Net income | $ | 131,317 | $ | 101,371 | $ | 90,374 | |||
Dividends declared on Common Stock: | |||||||||
Class A Shares | (31,212) | (27,998) | (26,002) | ||||||
Class B Shares | (3,524) | (3,182) | (2,933) | ||||||
Undistributed net income for basic earnings per share | 96,581 | 70,191 | 61,439 | ||||||
Weighted average potential dividends on Class A Shares upon exercise of dilutive options | (117) | (140) | (92) | ||||||
Undistributed net income for diluted earnings per share | $ | 96,464 | $ | 70,051 | $ | 61,347 | |||
Weighted average shares outstanding: | |||||||||
Class A Shares |
| 17,595 |
| 17,499 |
| 17,634 | |||
Class B Shares | 2,149 | 2,151 | 2,158 | ||||||
Effect of dilutive securities on Class A Shares outstanding |
| 65 |
| 86 |
| 61 | |||
Weighted average shares outstanding including dilutive securities |
| 19,809 |
| 19,736 |
| 19,853 | |||
Basic earnings per share: | |||||||||
Class A Common Stock: | |||||||||
Per share dividends distributed | $ | 1.80 | $ | 1.63 | $ | 1.50 | |||
Undistributed earnings per share* | 4.94 | 3.61 | 3.14 | ||||||
Total basic earnings per share - Class A Common Stock | $ | 6.74 | $ | 5.24 | $ | 4.64 | |||
Class B Common Stock: | |||||||||
Per share dividends distributed | $ | 1.64 | $ | 1.48 | $ | 1.36 | |||
Undistributed earnings per share* | 4.49 | 3.28 | 2.85 | ||||||
Total basic earnings per share - Class B Common Stock | $ | 6.13 | $ | 4.76 | $ | 4.21 | |||
Diluted earnings per share: | |||||||||
Class A Common Stock: | |||||||||
Per share dividends distributed | $ | 1.80 | $ | 1.63 | $ | 1.50 | |||
Undistributed earnings per share* | 4.92 | 3.58 | 3.12 | ||||||
Total diluted earnings per share - Class A Common Stock | $ | 6.72 | $ | 5.21 | $ | 4.62 | |||
Class B Common Stock: | |||||||||
Per share dividends distributed | $ | 1.64 | $ | 1.48 | $ | 1.36 | |||
Undistributed earnings per share* | 4.47 | 3.26 | 2.84 | ||||||
Total diluted earnings per share - Class B Common Stock | $ | 6.11 | $ | 4.74 | $ | 4.20 | |||
*To arrive at undistributed earnings per share, undistributed net income is first pro rated between Class A and Class B Common Shares, with Class A Common Shares receiving a 10% premium. The resulting pro-rated, undistributed net income for each class is then divided by the weighted-average shares for each class.
Stock options excluded from the detailed earnings per share calculation because their impact was antidilutive are as follows:
2025 | | 2024 | | 2023 | |||
Antidilutive stock options | 38,422 |
| — |
| 149,169 | ||
Average antidilutive stock options | 36,540 |
| — |
| 145,809 |
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 6, 2026 | Showing above |
| 2024 | Mar 6, 2025 | |
| 2023 | Mar 14, 2024 | |
| 2022 | Mar 3, 2023 | |
| 2021 | Mar 1, 2022 | |
| 2020 | Feb 26, 2021 | |
| 2019 | Mar 13, 2020 | |
| 2018 | Mar 15, 2019 | |
| 2017 | Mar 9, 2018 | |
| 2016 | Mar 10, 2017 | |
| 2015 | Mar 11, 2016 | |
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.