Earnings Per Share (Tables)

3 Months Ended

Mar. 31, 2024

Computations of Basic and Diluted Earnings Per Share

Below are the computations of basic and diluted earnings per share for the three months ended March 31, 2024 and 2023:


(In thousands, except per share amounts)	Three Months Ended March 31,
	2024		2023
Computation of Basic Earnings per Share
Net income attributable to Stepan Company	$	13,893	$	16,142
Weighted-average number of common shares outstanding		22,824		22,757
Basic earnings per share	$	0.61	$	0.71

Computation of Diluted Earnings per Share
Net income attributable to Stepan Company	$	13,893	$	16,142
Weighted-average number of shares outstanding		22,824		22,757
Add weighted-average net shares from assumed exercise of options (under treasury stock method)(1)		47		99
Add weighted-average net shares related to unvested stock awards (under treasury stock method)		3		1
Add weighted-average net shares from assumed exercise of SARs (under treasury stock method)(1)		54		108
Add weighted-average contingently issuable net shares related to performance stock awards (under treasury stock method)		20		29
Weighted-average shares applicable to diluted earnings		22,948		22,994
Diluted earnings per share	$	0.61	$	0.70

(1)

800,025 and 403,711 options/SARs to acquire shares of the Company's common stock were excluded from the computation of dilutive earnings per share for the three months ended March 31, 2024 and 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.