v3.26.1
Note 14 - Earnings Per Share
 3 Months Ended
Mar. 31, 2026
Notes to Financial Statements  
Earnings Per Share [Text Block]

14. Earnings Per Share

 

Basic earnings per share is calculated by dividing net income attributable to the common shareholders of the Company by the weighted average number of common shares outstanding during the period, exclusive of restricted shares. Except where the result would be anti-dilutive, diluted earnings per share is calculated by assuming the vesting of unvested "in the money" restricted stock and the exercise of outstanding "in the money" stock options, as well as the satisfaction of certain contingent acquisition consideration conditions as of the end of the period. Refer to Note 4, “Redeemable Noncontrolling Interests,” of the Annual Report on Form 10-K for the year ended December 31, 2025, for further information regarding the accounting for redeemable noncontrolling interests within earnings per share.

 

The following table reconciles the numerator and the denominator used to calculate basic and diluted earnings per share:

 

  

Three Months Ended March 31,

 
  

2026

  

2025

 

Numerator

        

Net income attributable to Generac Holdings Inc.

 $73,253  $43,840 

Net income attributable to common shareholders

 $73,253  $43,840 
         

Denominator

        

Weighted average shares, basic

  58,412,205   59,062,534 

Dilutive effect of stock compensation awards (1)

  820,939   685,055 

Weighted average shares, diluted

  59,233,144   59,747,589 
         

Net income attributable to common shareholders per share

        

Basic

 $1.25  $0.74 

Diluted

 $1.24  $0.73 

 

(1) Excludes approximately 178,000 and 402,000 stock options and restricted stock awards for the three months ended March 31, 2026 and 2025, respectively, because they would be anti-dilutive.