Earnings per Share

9 Months Ended

Sep. 30, 2026

Note 2 – Earnings per Share

The Company computes EPS using the two-class method. The two-class method of computing EPS is an earnings allocation formula that determines EPS for common stock and any participating securities according to dividends declared and participation rights in undistributed earnings. The Company's Series A Non-Voting Convertible Preferred Stock is a participating security. Basic EPS is computed by dividing net income available to common shareholders by the weighted-average number of shares of common stock outstanding during each period. Diluted EPS is based on the weighted-average number of common shares outstanding during each period, plus common share equivalents, calculated for share-based awards outstanding using the treasury stock method and preferred shares using the more dilutive of either the two-class or if-converted method.

For each of the three and nine month periods ended September 30, 2026, options to purchase 1,505 shares of the Company's common stock were anti-dilutive. Options to purchase shares of the Company’s common stock totaling 144,826 and 327,859, respectively, for the three and nine months ended September 30, 2025, were anti-dilutive.


	Three Months Ended September 30,				Nine Months Ended September 30,
(In thousands, except per share data)	2026		2025		2026		2025
Basic EPS
Net income	$	59,868	$	36,467	$	151,298	$	110,618
Less preferred stock dividends	(2,138)		—		(6,414)		—
Net income available to common shareholders	57,730		36,467		144,884		110,618
Less allocation of earnings to preferred stock	(4,126)		—		(9,388)		—
Net income available to common shareholders after allocation of earnings to preferred stock	$	53,604	$	36,467	$	135,496	$	110,618
Average common shares outstanding	96,269		86,619		96,514		85,398
Net income per share	$	0.56	$	0.42	$	1.40	$	1.30

Diluted EPS
Net income available to common shareholders	$	57,730	$	36,467	$	144,884	$	110,618
Less allocation of earnings to preferred stock	(4,089)		—		(9,304)		—
Net income available to common shareholders after allocation of earnings to preferred stock	$	53,641	$	36,467	$	135,580	$	110,618
Average common shares outstanding	96,269		86,619		96,514		85,398
Add: Dilutive effect of employee restricted stock and stock options	968		806		973		756
Average diluted shares outstanding	97,237		87,425		97,487		86,154
Net income per share	$	0.55	$	0.42	$	1.39	$	1.28