EARNINGS PER SHARE
Earnings per share is calculated using both the two-class and the treasury stock methods with the more dilutive method used to determine basic and diluted earnings per share. The treasury stock method was used to determine EPS in 2025 and the two-class method was used to determine EPS in 2024 and 2023. The two-class method is no longer applicable and shown for comparative purposes only.
The following table reconciles the numerators and denominators of basic and diluted EPS calculations for the periods presented:
Twelve Months Ended December 31,
(in thousands, except share and per share data)202520242023
Numerator for Earnings per Share—Basic and Diluted:
Net income—Treasury Stock Method—Basic and Diluted
$134,230 $131,265 $144,781 
Less: Income allocated to participating shares(1)
— 13 156 
Net Income Allocated to Shareholders—Two-Class Method—Basic and Diluted
$134,230 $131,252 $144,625 
Denominator for Earnings per Share—Treasury Stock Method:
Weighted Average Shares Outstanding—Basic38,195,322 38,237,531 38,432,447 
Add: Potentially dilutive shares296,182 289,573 253,171 
Denominator for Treasury Stock Method—Diluted38,491,504 38,527,104 38,685,618 
Denominator for Earnings per Share—Two-Class Method:
Weighted Average Shares Outstanding—Basic38,195,322 38,237,531 38,432,447 
Add: Average participating shares outstanding(1)
— 286,157 222,958 
Denominator for Two-Class Method—Diluted38,195,322 38,523,688 38,655,405 
Earnings per share—basic$3.51 $3.43 $3.76 
Earnings per share—diluted$3.49 $3.41 $3.74 
Restricted stock considered anti-dilutive excluded from potentially dilutive shares27 190 293 
(1)Two-class method not applicable in 2025.

Historical Timeline

Fiscal YearFiled
2025Feb 27, 2026Showing above
2024Mar 3, 2025
2023Feb 27, 2024
2022Feb 24, 2023
2021Feb 28, 2022
2020Mar 1, 2021
2019Mar 2, 2020
2018Feb 21, 2019
2017Mar 1, 2018
2016Feb 24, 2017
2015Feb 23, 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.