Earnings Per Share (Notes)

6 Months Ended

Jun. 30, 2024

Basic earnings per share are computed based on the weighted average number of common shares outstanding during the period. Diluted earnings per share are computed using the weighted average number of common shares outstanding and the effect of dilutive potential common shares outstanding during the period using the treasury stock method. Potential common shares consist of: i) employee stock purchase plan shares; ii) contingently issuable time-based and performance-based restricted stock units, along with associated dividend equivalent rights; and iii) shares issuable pursuant to the at the market offering program. Unvested performance-based restricted stock units and associated dividend equivalent rights are included in dilutive potential common shares only after the performance criteria have been met.

For the three and six months ended June 30, 2024, unvested performance-based restricted stock units and related dividend equivalent rights of 513 thousand shares were excluded from the dilutive calculation because the performance goals had not been met, with 440 thousand shares excluded for the three and six months ended June 30, 2023.

Net income is the same for both the basic and diluted earnings per share computations. The denominators of the basic and diluted earnings per share computations are as follows (in thousands):


	Three Months Ended June 30,		Six Months Ended June 30,
	2024	2023	2024	2023
Weighted-average common shares outstanding—basic	103,034	97,087	102,167	94,478
Dilutive effect of potential common shares *	198	543	171	472
Weighted-average common shares outstanding—diluted	103,232	97,630	102,338	94,950

* As of June 30, 2023, 292 thousand incremental shares were included in the calculation of diluted EPS related to the securities under the EFSA. There was no dilutive impact from the EFSA in 2024 as it was settled in July 2023.