Earnings Per Share of Common Stock

9 Months Ended

Jun. 30, 2025

Earnings Per Share [Abstract]

Earnings Per Share of Common Stock

14. Earnings Per Share of Common Stock

The Company calculates basic and diluted (loss) earnings per common share using the two-class method. The two-class method is an allocation formula that determines net (loss) income per common share for each share of common stock and Series A Convertible Preferred Stock, a participating security, according to dividends declared and participation rights in undistributed earnings. Under this method, all earnings (distributed and undistributed) are allocated to common shares and Series A Convertible Preferred Stock based on their respective rights to receive dividends. The holders of the Series A Convertible Preferred Stock do not participate in losses. The holders of Series A Convertible Preferred Stock participate in cash dividends that the Company pays on its common stock in an as-converted basis. Diluted net (loss) income per common share is computed based on the weighted average number of shares of common stock outstanding during each period, plus potential common shares considered outstanding during the period, as long as the inclusion of such awards is not antidilutive. Potential common shares consist of unvested and unexercised stock compensation awards and the Series A Convertible Preferred Stock, using the more dilutive of either the two-class method or if-converted stock method.

Set forth below is a reconciliation of the numerator and denominator for basic and diluted (loss) earnings per share calculation for the periods indicated:

	Three Months Ended June 30,						Nine Months Ended June 30,
	2025			2024			2025			2024
Basic earnings per common share
Numerator:
Net income	$	32.3		$	23.5		$	28.3		$	40.8
Less: Dividends on Series A convertible preferred shares		(8.9	)		(8.9	)		(26.8	)		(26.7	)
Less: Earnings allocated to Convertible Preferred Shares		(8.5	)		(5.3	)		(0.5	)		(5.1	)
Net income available to common shareholders	$	14.9		$	9.3		$	1.0		$	9.0
Denominator:
Weighted average number of common shares outstanding – basic		95,228,000			94,549,000			95,302,000			94,668,000
Basic earnings per share	$	0.16		$	0.10		$	0.01		$	0.09
Diluted earnings per common share
Numerator:
Net income available to common shareholders – diluted	$	14.9		$	9.3		$	1.0		$	9.0
Denominator:
Weighted average number of common shares outstanding – basic		95,228,000			94,549,000			95,302,000			94,668,000
Dilutive effect of:
Stock compensation awards		2,516,000			2,123,000			839,000			1,133,000
Series A convertible preferred stock		—			—			—			—
Weighted average number of common shares outstanding – diluted		97,744,000			96,672,000			96,141,000			95,801,000
Diluted earnings per share	$	0.15		$	0.10		$	0.01		$	0.09
Other Information:
Weighted average number of anti-dilutive Series A convertible preferred shares, options and restricted stock(a)		54,921,000			55,369,000			58,045,000			57,011,000

(a)Weighted average number of anti-dilutive options is based upon the average closing price of the Company’s common stock on the NYSE for the period.