Earnings Per Share

6 Months Ended

Jun. 30, 2023

10.

EARNINGS PER SHARE

Below are the computations of basic and diluted earnings per share for the three and six months ended June 30, 2023 and 2022:


(In thousands, except per share amounts)	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Computation of Basic Earnings per Share
Net income attributable to Stepan Company	$	12,684	$	52,126	$	28,826	$	96,935
Weighted-average number of common shares outstanding		22,768		22,792		22,763		22,842
Basic earnings per share	$	0.56	$	2.29	$	1.27	$	4.24

Computation of Diluted Earnings per Share
Net income attributable to Stepan Company	$	12,684	$	52,126	$	28,826	$	96,935
Weighted-average number of shares outstanding		22,768		22,792		22,763		22,842
Add weighted-average net shares from assumed exercise of options (under treasury stock method)(1)		71		102		85		106
Add weighted-average net shares related to unvested stock awards (under treasury stock method)		3		—		2		—
Add weighted-average net shares from assumed exercise of SARs (under treasury stock method)(1)		73		106		90		113
Add weighted-average contingently issuable net shares related to performance stock awards (under treasury stock method)		30		55		30		54
Weighted-average shares applicable to diluted earnings		22,945		23,055		22,970		23,115
Diluted earnings per share	$	0.55	$	2.26	$	1.25	$	4.19

(1)

644,962 and 524,337 options/SARs to acquire shares of the Company's common stock were excluded from the computation of dilutive earnings per share for the three and six months ended June 30, 2023, respectively. The options/SARs' exercise prices were greater than the average market price for the Company's common stock and inclusion of the instruments would have had an antidilutive effect on the computations of the earnings per share. 337,056 and 350,703 options/SARs to acquire shares of Company common stock were excluded from the computation of dilutive earnings per share for the three and six months ended June 30, 2022, respectively.