Stock-Based Compensation

12 Months Ended

Dec. 31, 2024

Share-Based Payment Arrangement, Noncash Expense [Abstract]

The Company recognized compensation expense for all share-based payments granted for the years ended December 31, 2024, 2023 and 2022 based on the grant date fair market value estimated in accordance with the provisions of ASC 718-10. Compensation expense is recognized on a straight-line basis over the options’ or other awards’ estimated lives for fixed awards with ratable vesting provisions.

On May 19, 2017, the Company’s stockholders approved the 2017 Long-Term Incentive Plan (the “2017 Plan”), which allows the Company to reserve up to a maximum of 3 million shares of common stock for issuance upon the grant or exercise of stock options, restricted stock, restricted stock units (“RSUs”) and other types of awards, to directors and key employees through the 2027 stockholders’ meeting, unless earlier terminated or amended. On May 9, 2012, the Company’s stockholders approved the 2012 Incentive Plan (the “2012 Plan”). Under the 2012 Plan, the Company reserved up to a maximum of 3.2 million shares of common stock for issuance upon the grant or exercise of stock options, restricted stock, RSUs and other types of awards, to directors and key employees through the 2022 stockholders’ meeting, unless earlier terminated or amended. Following the approval of the 2017 Plan by the Company’s stockholders, no additional awards may be granted under the 2012 Plan after May 19, 2017.

Under the 2017 Plan (and previously, the 2012 Plan), the grant date fair market value of restricted stock and RSUs is equal to the closing market price of the Company’s common stock on the date of the grant, and such awards generally vest between three and five years. In addition, option awards may be granted with an exercise price equal to or greater than the fair market value of the Company’s common stock on the date of the grant, and such awards generally vest between three and five years with a 10-year contractual term.

Restricted Stock Plans

A summary of the Company’s RSUs under the Company’s long-term incentive plans as of December 31, 2024, and changes during the year then ended is presented as follows:


(In millions except for share and fair value)	Shares	Weighted Average Grant Date Fair Value		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value
RSUs outstanding, December 31, 2023	487,328	$	109.83
Granted	293,602	115.21
Released	(241,027)	140.57
Forfeited	(22,152)	115.19
RSUs outstanding, December 31, 2024	517,751	$	98.34	0.97	$	61.7
Expected to vest as of December 31, 2024	517,751			0.97	$	61.7

The Company recognized stock-based compensation costs related to the issuance of RSUs of $27.5 million ($20.4 million, net of taxes), $21.0 million ($15.5 million, net of taxes) and $22.4 ($16.6 million, net of taxes) for the years ended December 31, 2024, 2023 and 2022, respectively, which has been allocated to selling, general and administrative expenses and cost of goods sold. Pre-tax unrecognized compensation expense for unvested RSUs granted to employees, net of estimated forfeitures, was $18.8 million as of December 31, 2024, and will be recognized as expense over a weighted-average period of approximately 1.56 years.

Additional information relating to the Company’s RSUs under the Company’s long-term incentive plans are as follows:


	2024	2023	2022
RSUs outstanding, January 1	487,328	453,608	438,354
Granted	293,602	270,677	191,926
Released	(241,027)	(192,787)	(133,718)
Forfeited	(22,152)	(44,170)	(42,954)
RSUs outstanding, December 31	517,751	487,328	453,608
Expected to vest as of December 31	517,751	487,328	436,978

During 2024, 2023 and 2022, shares were awarded each year to certain non-employee directors in lieu of cash for their annual retainers. The total number of shares were 4,705, 3,203, and 1,777, respectively.