Earnings Per Share

9 Months Ended

Jun. 30, 2024

We use the two-class method of computing earnings per share because we have participating securities in the form of non-vested restricted stock units with a nonforfeitable right to dividend equivalents, for which vesting is predicated solely on the passage of time. The calculation of earnings per share using the two-class method excludes income attributable to these participating securities from the numerator and excludes the dilutive impact of those shares from the denominator. Basic weighted average shares outstanding is calculated based upon the weighted average number of common shares outstanding during the periods presented. Also, this calculation includes fully vested stock awards that have not yet been issued as common stock. Additionally, the weighted average shares outstanding for diluted EPS includes the incremental effects of the forward sale agreements, discussed in Note 8 to the condensed consolidated financial statements, when the impact is dilutive.

Basic and diluted earnings per share for the three and nine months ended June 30, 2024 and 2023 are calculated as follows:


	Three Months Ended June 30				Nine Months Ended June 30
	2024		2023		2024		2023
	(In thousands, except per share amounts)
Basic Earnings Per Share
Net income	$	165,564	$	137,807	$	908,879	$	767,338
Less: Income allocated to participating securities	87		83		490		482
Income available to common shareholders	$	165,477	$	137,724	$	908,389	$	766,856
Basic weighted average shares outstanding	153,309		146,051		151,459		143,938
Net income per share — Basic	$	1.08	$	0.94	$	6.00	$	5.33
Diluted Earnings Per Share
Income available to common shareholders	$	165,477	$	137,724	$	908,389	$	766,856
Effect of dilutive shares	—		—		—		—
Income available to common shareholders	$	165,477	$	137,724	$	908,389	$	766,856
Basic weighted average shares outstanding	153,309		146,051		151,459		143,938
Dilutive shares	87		16		38		60
Diluted weighted average shares outstanding	153,396		146,067		151,497		143,998
Net income per share — Diluted	$	1.08	$	0.94	$	6.00	$	5.33