Earnings Per Share

6 Months Ended

Jun. 30, 2020

Basic earnings per common share is computed by dividing net income available to common stockholders by the weighted average of common shares outstanding during the period. Diluted earnings per common share adjusts basic earnings per common share for the effects of stock options and restricted stock in the periods where such items are dilutive.

On July 24, 2019, the Board of Directors approved an up to $400 million share repurchase program to be executed over the two-year period ending July 2021. Prior to the July authorization, the Company had continued to conduct share repurchases in 2019 under quarterly allocations in line with its past practice, subject to market conditions and cash availability. For the six months ended June 30, 2020, the Company repurchased 1,362,400 shares of common stock for an average price of $103.17 per share including brokerage fees and for the six months ended June 30, 2019, 379,754 shares were repurchased for an average price of $79.32 per share.

The following table provides a reconciliation of basic and diluted earnings per share computations for the three and six months ended June 30, 2020 and 2019:


	Three Months Ended June 30,						Six Months Ended June 30,
(Millions of dollars, except share and per share amounts)	2020		2019		2020		2019
Earnings per common share:
Net income per share - basic


Net income attributable to common stockholders	$	168.9	$	32.7	$	258.2	$	38.0

Weighted average common shares outstanding (in thousands)	29,181		32,112		29,708		32,159

Earnings per common share	$	5.79	$	1.02	$	8.69	$	1.18




Earnings per common share - assuming dilution:
Net income per share - diluted


Net income attributable to common stockholders	$	168.9	$	32.7	$	258.2	$	38.0

Weighted average common shares outstanding (in thousands)	29,181		32,112		29,708		32,159
Common equivalent shares:
Dilutive share-based awards	314		216		310		213
Weighted average common shares outstanding - assuming dilution (in thousands)	29,495		32,328		30,018		32,372

Earnings per common share assuming dilution	$	5.73	$	1.01	$	8.60	$	1.18

We have excluded from the earnings-per-share calculation certain stock options and shares that are considered to be anti-dilutive under the treasury stock method. For the reported periods, the number of time-based restricted stock units, performance based units and non-qualified stock options that are excluded due to their anti-dilutive nature is immaterial.