Earnings Per Share

9 Months Ended

Sep. 30, 2023

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)	2023		2022		2023		2022
Basic earnings per common share:
Net income	$	124,144	$	133,043	$	387,517	$	352,547
Weighted-average basic common shares		76,139		75,606		76,034		74,185
Basic earnings per common share	$	1.63	$	1.76	$	5.10	$	4.75
Diluted earnings per common share:
Net income	$	124,144	$	133,043	$	387,517	$	352,547
Weighted-average basic common shares		76,139		75,606		76,034		74,185
Effect of dilutive securities		432		576		412		606
Weighted-average dilutive shares		76,571		76,182		76,446		74,791
Diluted earnings per common share	$	1.62	$	1.75	$	5.07	$	4.71

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,
	2023					2022					2023					2022
Number of shares					57,169					57,169					57,169					57,169
Range of exercise prices	$	87.30	to	$	91.35	$	87.30	to	$	91.35	$	87.30	to	$	91.35	$	87.30	to	$	91.35