| COMMON STOCK AND EARNINGS PER SHARE |
NOTE 13. COMMON STOCK AND EARNINGS PER SHARE Basic earnings per common share is computed by dividing net income attributable to common stockholders during the period by the weighted average number of shares of common stock outstanding during the period. Diluted earnings per common share is based on the assumption of the vesting of restricted stock at the beginning of each period using the treasury stock method at average cost for the periods. Effective as of January 1, 2022, diluted earnings per common share also reflects the 2025 Notes (hereinafter defined) on an if-converted basis. The following is a reconciliation of basic and diluted earnings per common share for each of the periods presented (in thousands, except share and per share data): | | | | | | | | | | | | | | | Three Months Ended | | Six Months Ended | | | June 30,
2025 | | June 30,
2024 | | June 30,
2025 | | June 30,
2024 | Basic and Diluted Earnings: | | | | | | | | | | | | | Net Income (Loss) Attributable to Common Stockholders, Used in Basic EPS | | $ | (25,296) | | $ | (688) | | $ | (24,913) | | $ | 3,967 | Add Back: Effect of Dilutive Interest Related to 2025 Notes (1) | | | — | | | — | | | — | | | — | Net Income (Loss) Attributable to Common Stockholders, Used in Diluted EPS | | $ | (25,296) | | $ | (688) | | $ | (24,913) | | $ | 3,967 | | | | | | | | | | | | | | Basic and Diluted Shares: | | | | | | | | | | | | | Weighted Average Shares Outstanding, Basic | | | 32,678,771 | | | 22,787,252 | | | 32,118,982 | | | 22,669,246 | Common Shares Applicable to Unvested Restricted Stock Using the Treasury Stock Method | | | 49,060 | | | 40,896 | | | 55,592 | | | 5,550 | Common Shares Applicable to Dilutive Effect of 2025 Notes (2) | | | — | | | — | | | — | | | — | Weighted Average Shares Outstanding, Diluted | | | 32,727,831 | | | 22,828,148 | | | 32,174,574 | | | 22,674,796 | | | | | | | | | | | | | | Per Share Information: | | | | | | | | | | | | | Net Income (Loss) Attributable to Common Stockholders | | | | | | | | | | | | | Basic and Diluted | | $ | (0.77) | | $ | (0.03) | | $ | (0.78) | | $ | 0.17 |
(1) | The 2025 Notes were settled during the three and six months ended June 30, 2025. As applicable, includes interest expense, amortization of discount, amortization of fees, and other changes in net income or loss that would result from the assumed conversion of the 2025 Notes to derive FFO (as defined herein) effective January 1, 2022 due to the implementation of ASU 2020-06 which requires presentation on an if-converted basis. For the three and six months ended June 30, 2025, a total of $0.1 million and $0.6 million of interest was not included, respectively, as the impact of the 2025 Notes, if-converted, would be antidilutive to net loss attributable to common stockholders for the respective periods. For the three and six months ended June 30, 2024, a total of $0.5 million and $1.1 million of interest was not included, respectively, as the impact of the 2025 Notes, if-converted, would be antidilutive to net income attributable to common stockholders for the respective periods. |
(2) | The 2025 Notes were settled during the three and six months ended June 30, 2025. During the three and six months ended June 30, 2025, the Company issued 1,089,555 shares of the Company’s common stock in connection with the settlement of the 2025 Notes and such shares were included in the basic weighted average share count for the applicable periods. A total of 0.2 million shares and 2.0 million shares, representing the dilutive impact of the 2025 Notes, upon adoption of ASU 2020-06 effective January 1, 2022, were not included in the computation of diluted net income per share attributable to common stockholders for the three and six months ended June 30, 2025, respectively, because they were antidilutive to the net loss attributable to common stockholders for the respective periods. A total of 3.6 million shares and 3.5 million shares, representing the dilutive impact of the 2025 Notes, upon adoption of ASU 2020-06 effective January 1, 2022, were not included in the computation of diluted net income (loss) per share attributable to common stockholders for the three and six months ended June 30, 2024, respectively, because they were antidilutive to net income (loss) attributable to common stockholders for the respective periods. |
There were 49,060 and 55,592 potentially dilutive shares related to the Company’s restricted stock for the three and six months ended June 30, 2025, respectively. There were 40,896 and 5,550 potentially dilutive shares related to the Company’s restricted stock for the three and six months ended June 30, 2024, respectively.
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