Earnings Per Share

6 Months Ended

Jun. 30, 2023

NOTE 14 – EARNINGS PER SHARE

The Company’s earnings per share (“EPS”) is computed by dividing reported net income by the weighted-average number of shares outstanding. Diluted EPS considers the potential dilution that could occur if common stock equivalents of stock options, RSUs, and PSAs were exercised or converted into stock. PSAs are included in the computation of diluted shares only to the extent that the underlying performance conditions: (i) are satisfied as of the end of the reporting period or (ii) would be considered satisfied if the end of the reporting period were the end of the related performance period and the result would be dilutive under the treasury stock method.

As of June 30, 2023, the PSAs granted during the year ended December 31, 2021 met the related performance conditions for the initial performance period and were included in the calculation of diluted EPS. However, the PSAs granted during the year ended December 31, 2022 and during the six months ended June 30, 2023 have not yet completed their initial two-year performance period and therefore were excluded in the calculation of diluted EPS.

The dilutive effect of stock options, RSUs, and PSAs for each period reported is summarized below:


	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2023		2022		2023		2022
Net Income	$	20,312	$	18,397	$	36,710	$	36,259

Weighted-average number of basic shares outstanding during the period		18,791		18,796		18,785		18,795
Dilutive effect of stock options, RSUs, and performance shares		128		158		157		196
Weighted-average number of diluted shares outstanding during the period		18,919		18,954		18,942		18,991

Basic earnings per share	$	1.08	$	0.98	$	1.95	$	1.93
Diluted earnings per share	$	1.07	$	0.97	$	1.94	$	1.91