Earnings Per Share

12 Months Ended

Dec. 31, 2014

Earnings Per Share [Abstract]

Earnings Per Share

18. Earnings Per Share

Below is the computation of basic and diluted earnings per share for the years ended December 31, 2014, 2013 and 2012:

(In thousands, except per share amounts)	2014		2013		2012
Computation of Basic Earnings per Share
Net income attributable to Stepan Company	$	57,101	$	72,828	$	79,396
Deduct dividends on preferred stock		—		43		579
Income applicable to common stock	$	57,101	$	72,785	$	78,817
Weighted-average number of shares outstanding		22,758		22,621		21,273
Basic earnings per share	$	2.51	$	3.22	$	3.71
Computation of Diluted Earnings per Share
Net income attributable to Stepan Company	$	57,101	$	72,828	$	79,396
Weighted-average number of shares outstanding		22,758		22,621		21,273
Add weighted-average net shares from assumed exercise of options (under treasury stock method) (1)		148		215		392
Add weighted-average contingently issuable net shares related to performance stock awards (under treasury stock method)		─		─		12
Add weighted-average unvested stock awards (under treasury stock method)		11		8		6
Add weighted-average shares from assumed conversion of convertible preferred stock		─		80		1,047
Weighted-average shares applicable to diluted earnings		22,917		22,924		22,730
Diluted earnings per share	$	2.49	$	3.18	$	3.49

⁽¹⁾ Options to purchase 99,044, 49,815 and 16,444 shares of common stock were not included in the computations of diluted earnings per share for the years ended December 31, 2014, 2013 and 2012, respectively. The options’ exercise prices were greater than the average market price for the common stock and the effect of the options on earnings per share would have been antidilutive.