TRUSTCO BANK CORP N YTRST

TRUSTCO BANK CORP N Y Earnings Per Share Disclosure

10-KFiled Mar 16, 20262 min read
(11)
Earnings Per Share
 
The Company computes earnings per share in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 260, Earnings Per Share (“ASC 260”).  TrustCo adopted FASB Staff Position on Emerging Issues Task Force 03-6-1, Determining Whether Instruments Granted in Share-Based Payment Transactions Are Participating Securities, as codified in FASB ASC 260-10 (“ASC 260-10”), which clarified that unvested share-based payment awards that contain non-forfeitable rights to receive dividends or divided equivalents (whether paid or unpaid) are participating securities, and thus, should be included in the two-class method of computing earnings per share (“EPS”).  Participating securities under this statement include the unvested employees’ and directors’ restricted stock awards with time-based vesting, which receive non-forfeitable dividend payments.  For the years presented, the Company no longer has unvested awards that would be considered participating securities.

        A reconciliation of the component parts of earnings per share for 2025, 2024, and 2023 follows:

(dollars in thousands,      
except per share data)
  
For the years ended December 31,
  
   
2025
    
2024
    
2023
  
                   
Net income
  
$
61,137
    
$
48,833
    
$
58,646
  
Weighted average common shares
    
18,752
      
19,018
      
19,024
  

                       
Effect of dilutive common stock options
    
38
      
19
      
1
  

                       
Weighted average common shares including potential dilutive shares
    
18,790
      
19,037
      
19,025
  
                         
Basic EPS
  
$
3.26
    
$
2.57
    
$
3.08
  

                       
Diluted EPS
  
$
3.25
    
$
2.57
    
$
3.08
  

For the year ended December 31, 2025 there were no antidilutive stock options excluded from diluted earnings per share.  For the year ended December 31, 2024, there were 42 thousand antidilutive stock options excluded from diluted earnings per share.  The stock options are antidilutive because the strike price is greater than the average fair value of the Company’s common stock for the periods presented.

Historical Timeline

Fiscal YearFiled
2025Mar 16, 2026Showing above
2024Mar 14, 2025
2023Mar 11, 2024
2022Mar 1, 2023
2021Feb 25, 2022
2020Feb 26, 2021
2019Feb 28, 2020
2018Mar 1, 2019
2017Mar 1, 2018
2016Mar 3, 2017
2015Mar 4, 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.

Other Available Disclosures

Income TaxesRevenueFair ValuePP&ELeasesSegmentsDebtCommitmentsNew Standards