Earnings Per Share (Tables)

9 Months Ended

Sep. 30, 2021

Computations of Basic and Diluted Earnings Per Share

Below are the computations of basic and diluted earnings per share for the three and nine months ended September 30, 2021 and 2020:

(In thousands, except per share amounts)	Three Months Ended September 30				Nine Months Ended September 30
	2021		2020		2021		2020
Computation of Basic Earnings per Share
Net income attributable to Stepan Company	$	36,920	$	33,168	$	120,809	$	96,420
Weighted-average number of common shares outstanding		22,898		22,907		22,941		22,951
Basic earnings per share	$	1.61	$	1.45	$	5.27	$	4.20

Computation of Diluted Earnings per Share
Net income attributable to Stepan Company	$	36,920	$	33,168	$	120,809	$	96,420
Weighted-average number of shares outstanding		22,898		22,907		22,941		22,951
Add weighted-average net shares from assumed exercise of options (under treasury stock method) ⁽¹⁾		124		119		139		107
Add weighted-average net shares related to unvested stock awards (under treasury stock method)		—		1		1		1
Add weighted-average net shares from assumed exercise of SARs (under treasury stock method) ⁽¹⁾		142		164		168		139
Add weighted-average contingently issuable net shares related to performance stock awards (under treasury stock method)		55		46		50		38
Weighted-average shares applicable to diluted earnings		23,219		23,237		23,299		23,236
Diluted earnings per share	$	1.59	$	1.43		5.19	$	4.15

(1) 69,199 and 207,598 options/SARs to acquire shares of Company common stock were excluded from the computations of diluted earnings per share for the three and nine months ended September 30, 2021, respectively. Options/SARs to acquire 169,912 shares of Company common stock were excluded from the computation of diluted earnings per share for the nine months ended September 30, 2020. Inclusion of the instruments would have had an antidilutive effect on the computation of diluted earnings per share.