Stockholders' Equity

9 Months Ended

Sep. 30, 2024

Equity [Abstract]

Stockholders' Equity

12.STOCKHOLDERS’ EQUITY

Earnings Per Share

The following table sets forth the computation of basic and diluted earnings per share (in thousands, except share and per share data):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Numerator:
Net income available to common shareholders	$	40,553	$	65,266	$	216,620	$	183,433
Denominator:
Basic weighted average shares outstanding		108,258,401		108,583,009		108,529,825		108,707,699
Effect of dilutive securities:
Stock appreciation rights and options		38,602		80,256		54,679		72,580
Restricted stock		82,413		39,230		74,614		49,095
Diluted weighted average shares outstanding		108,379,416		108,702,495		108,659,118		108,829,374
Basic earnings per share	$	0.37	$	0.60	$	2.00	$	1.69
Diluted earnings per share	$	0.37	$	0.60	$	1.99	$	1.69

Diluted earnings per share is computed using the weighted average number of shares determined for the basic earnings per share computation plus the dilutive effect of common stock equivalents using the treasury stock method. The computation of diluted earnings per share excludes the following potentially dilutive securities because the effect would be anti-dilutive:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Stock appreciation rights		70,979		86,250		66,387		95,467
Restricted stock		51,001		—		33,199		69,764

Stock Repurchase Program

On February 16, 2018, the Board of Directors adopted the 2018 Stock Repurchase Program of up to 11.6 million shares of the Company’s outstanding common stock (Stock Repurchase Program). On May 4, 2023, the Trex Board of Directors adopted a new stock repurchase program (2023 Stock Repurchase Program) of up to 10.8 million shares of its outstanding common stock, and terminated the existing Stock Repurchase Program. The 2023 Stock Repurchase Program has no set expiration date. During the nine months ended September 30, 2024, Trex repurchased 822,400 shares of its outstanding common stock under the 2023 Stock Repurchase Program.