The Company computes basic earnings per share by dividing net income by the weighted-average common shares outstanding during the year. Diluted earnings per share is calculated to give effect to all potentially dilutive common shares that were outstanding during the year. Weighted-average diluted common shares outstanding primarily reflect the additional shares that would be issued upon the assumed exercise of stock options and the assumed vesting of unvested share awards. The treasury stock method has been used to compute diluted earnings per share for the three months ended March 31, 2026 and 2025.

The Company issued Stock Appreciation Rights (“SARs”) and Restricted Stock Awards (“RSAs”), all of which have been evaluated for their potentially dilutive effect under the treasury stock method. See Note 14. Stock-Based Compensation in the Company’s 2025 Annual Report for additional information on the SARs and the RSAs.


(in thousands, except per share basis)	For the Three Months Ended March 31,
	2026		2025
Numerator:
Net income – basic and diluted	$	7,300	$	19,082





Denominator:
Shares used in computing net income per share:
Weighted-average common shares outstanding – basic	23,046		23,005
Effect of dilutive securities	17		56
Weighted-average common shares outstanding – diluted	23,063		23,061

Earnings per common share:
Earnings per share of common stock – basic	$	0.32	$	0.83
Earnings per share of common stock – diluted	$	0.32	$	0.83

The aggregate number of shares excluded from the diluted earnings per share calculations, because they would have been anti-dilutive, were none for both three months ended March 31, 2026 and 2025. For the three months ended March 31, 2026 and 2025, SARs and RSAs were not included in the diluted earnings per share calculations as they would have been anti-dilutive because the Company’s average stock price was less than or equal to the exercise price of the SARs or the grant price of the RSAs.