Stock-Based Compensation

6 Months Ended

Jun. 30, 2024

Share-Based Payment Arrangement [Abstract]

Stock-Based Compensation

11.Stock-Based Compensation

The following table summarizes the stock-based compensation expense recognized under all of the Company’s stock plans for the three and six months ended June 30, 2024 and 2023, and associated with the issuance of restricted shares of common stock and vesting of stock options that are included in general and administrative expenses in the accompanying condensed consolidated statements of income (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Stock options	$	349	$	422	$	698	$	988
Restricted stock		6,963		3,791		12,362		6,670
ESPP		78		—		78		—
Total stock-based compensation expense	$	7,390	$	4,213	$	13,138	$	7,658

Unrecognized compensation expense related to total share-based payments outstanding as of June 30, 2024, was $38.4 million.

Options

The Company’s outstanding stock options consisted of the following:

	Shares			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (Years)		Aggregate Intrinsic Value (in millions)
Options outstanding at January 1, 2024		504,241		$	34.03		2.1	$	4.7
Options granted		—			—		—		—
Options exercised		—			—		—		—
Options forfeited		(7,271	)		50.56		—		—
Options outstanding at June 30, 2024		496,970		$	33.79		1.36	$	7.9
Options exercisable at June 30, 2024		459,140		$	28.04		1.18	$	7.9

During the six months ended June 30, 2024, there were no options exercised. During the six months ended June 30, 2023, options were exercised for 125,000 shares of the Company’s common stock, resulting in proceeds of $1.3 million.

Restricted Stock

The Company grants restricted stock awards and units to officers and employees, which are earned based on service and/or performance conditions. The grant date fair value of the restricted stock is the grant date’s closing market price of the Company’s common stock. During the six months ended June 30, 2024, the Company granted 507,392 shares of restricted stock with performance-based conditions and 359,310 shares of restricted stock without performance-based conditions. During the six months ended June 30, 2024, the weighted average grant date fair value of restricted stock with and without performance-based conditions was $43.09 and $41.04, respectively.

Employee Stock Purchase Plan (“ESPP”)

The Company’s ESPP is a shareholder-approved plan that allows eligible employees to contribute a portion of their eligible earnings toward the semi-annual purchase of the Company’s common stock at a discounted price equal to 85% up to 90% of the fair market values of the stock on the exercise date, subject to a maximum number of shares that can be purchased during any single offering period as well as an annual maximum dollar amount of shares during any single calendar year. A maximum of 5,000,000 shares were authorized for issuance at the time the ESPP was approved. There were no shares issued for the six months ended June 30, 2024.