Net Income Per Common Share

3 Months Ended

Mar. 31, 2025

14. Net Income Per Common Share

A summary of net income per common share is presented below:


	Three Months Ended March 31,
(in thousands, except per share amounts)		2025		2024
Net income		$	72,945	$	131,066

Basic weighted-average common shares outstanding		68,675		68,757
Effect of dilutive stock options		272		235
Effect of dilutive restricted stock		1,458		1,103
Effect of convertible notes		1,056		—
Diluted weighted-average common shares outstanding		71,461		70,095

Basic income per common share		$	1.06	$	1.91
Diluted income per common share		$	1.02	$	1.87

Antidilutive securities excluded from diluted net income per common share		1,201		2,377

Impact of the Convertible Notes

The Company considered whether the Notes are participating securities through the two-class method. Per the terms of the Indenture, the Company determined that if a cash dividend is paid that is greater than the then stock price, the holder of Notes will receive cash on an if-converted basis. While this feature is considered to be a participating right, basic earnings per share is only impacted if the Company’s earnings exceed the current share price, regardless of whether such dividend is declared. During the three months ended March 31, 2025 and 2024, no such dividend was declared. In addition, the Company is required to settle the principal amount of the Notes in cash upon conversion, and therefore, the Company uses the if-converted method for calculating any potential dilutive effect of the conversion option on diluted net income per share, if applicable, unless the application of the two-class method is dilutive. The conversion option has a dilutive impact on net income per share of Common Stock when the average price per share of the Company's common stock for a given period exceeds the conversion price of the Notes of $79.81 per share. See Note 11, “Long-Term Debt, Net, and Other Borrowings” for further discussion on the Notes.