Earnings Per Share

9 Months Ended

Sep. 30, 2022

Earnings Per Share

Earnings Per Share

Note 12 — Earnings Per Share

Basic earnings per share is calculated by dividing net income by the weighted-average shares of common stock outstanding during each period, excluding non-vested restricted shares. Our diluted earnings per share is based on the weighted-average shares of common stock outstanding during each period plus the maximum dilutive effect of common stock issuable upon exercise of stock options or vesting of restricted stock units. Stock options and unvested restricted stock units are considered common stock equivalents and are only included in the calculation of diluted earnings per common share when their effect is dilutive.

The following table sets forth the computation of basic and diluted earnings per common share:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(Dollars and shares in thousands, except for per share amounts)	2022		2021		2022		2021
Basic earnings per common share:
Net income	$	133,043	$	122,788	$	352,547	$	368,697
Weighted-average basic common shares		75,606		70,066		74,185		70,643
Basic earnings per common share	$	1.76	$	1.75	$	4.75	$	5.22
Diluted earnings per common share:
Net income	$	133,043	$	122,788	$	352,547	$	368,697
Weighted-average basic common shares		75,606		70,066		74,185		70,643
Effect of dilutive securities		576		510		606		465
Weighted-average dilutive shares		76,182		70,576		74,791		71,108
Diluted earnings per common share	$	1.75	$	1.74	$	4.71	$	5.19

The calculation of diluted earnings per common share excludes outstanding stock options for which the results would have been anti-dilutive under the treasury stock method as follows:

	Three Months Ended September 30,										Nine Months Ended September 30,
(Dollars in thousands)	2022					2021					2022					2021
Number of shares					57,169					57,169					57,169					60,546
Range of exercise prices	$	87.30	to	$	91.35	$	87.30	to	$	91.35	$	87.30	to	$	91.35	$	87.30	to	$	91.35