The Company uses the two-class method in calculating basic and diluted earnings per share. Net income/(loss) is allocated between our common stock and other participating securities based on their participation rights. Diluted net income per share has been computed using the weighted average number of shares of common stock outstanding and other dilutive securities. The following table presents a reconciliation of the numerators and denominators of the basic and diluted earnings per share computations and the calculation of basic and diluted earnings per share for the three and six months ended June 30, 2026 and 2025, respectively (in thousands, except share and per share data):


	Three Months Ended June 30,				Six Months Ended June 30,
Basic Numerator	2026		2025		2026		2025
Net income/(loss)	$	16,275	$	24,384	$	28,567	$	48,089
Net (income)/loss from non-controlling interest	(706)		(1,183)		(1,018)		(830)
Less: Preferred stock dividends	(5,916)		(6,748)		(11,832)		(13,496)
Net income/(loss) applicable to common stock	$	9,653	$	16,453	$	15,717	$	33,763
Less: Participating securities' share in earnings	(327)		(522)		(653)		(1,046)
Basic net income/(loss) applicable to common stockholders	$	9,326	$	15,931	$	15,064	$	32,717

Diluted Numerator
Basic net income/(loss) applicable to common stockholders	$	9,326	$	15,931	$	15,064	$	32,717
Add: Net income/(loss) from non-controlling interest - OP Units	898		—		1,518		—
Diluted net income/(loss) applicable to common stockholders	$	10,224	$	15,931	$	16,582	$	32,717


Denominator
Weighted-average common shares outstanding for basic earnings per share	76,367,888		82,181,403		78,137,174		82,117,897
Weighted-average common shares outstanding for diluted earnings per share(1)(2)	84,753,839		82,181,403		86,523,125		82,117,897
Basic earnings per share	$	0.12	$	0.19	$	0.19	$	0.40
Diluted earnings per share	$	0.12	$	0.19	$	0.19	$	0.40

________________________

(1) The effect of the weighted average dilutive shares excluded restricted shares and stock units for the three months ended June 30, 2026 and 2025 of 38,381 and 45,576, respectively, as the effect was anti-dilutive. Weighted average dilutive shares excluded restricted shares and stock units as of the six months ended June 30, 2026 and 2025 of 57,679 and 133,619 respectively, as the effect was anti-dilutive. Additionally, the effect of dilutive shares excluded 5,370,498 weighted average common share equivalents of convertible preferred stock for the three and six months ended June 30, 2026 and 2025, respectively, as the effect was anti-dilutive.