Earnings Per Share

6 Months Ended

Jun. 30, 2026

Note 13. Earnings Per Share

The Company calculates earnings per share (“EPS”) in accordance with ASC 260 Earnings Per Share. Basic EPS is calculated by dividing net income attributable to common stockholders by the weighted number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if unvested RSUs were to vest and be settled in common stock, calculated using the treasury stock method.

For periods prior to the Spin-Off on February 7, 2025, the Company elected to use the number of shares of common stock issued at the Spin-Off date as the denominator for both basic and diluted EPS, which is an acceptable method under ASC 260 for entities that complete a spin-off within the financial reporting period. For the six months ended June 30, 2025, the pre-spin net loss of $25.0 million for the period from January 1, 2025 through February 7, 2025 is added back to net income for purposes of earnings per share.

The following table presents the computation of basic and diluted EPS for the three and six months ended June 30, 2026 and 2025:


	Three months ended				Six months ended
	June 30,				June 30,
	2026		2025		2026		2025
(Dollars in thousands, except share amounts)
Numerator:
Net income	$	125,881	$	112,760	$	248,765	$	152,566
Adjustment for expenses from pre-spin periods		—		—		—		24,960
Numerator for basic and diluted earnings per share	$	125,881	$	112,760	$	248,765	$	177,526
Denominator:
Weighted average common shares outstanding - basic (1)		166,046,951		166,003,497		166,025,344		166,003,497
Basic earnings per share	$	0.76	$	0.68	$	1.50	$	1.07
Weighted average common shares outstanding - diluted (2)		166,060,914		166,031,175		166,049,937		166,020,988
Diluted earnings per share	$	0.76	$	0.68	$	1.50	$	1.07

(1)

Basic weighted average common shares outstanding for the three and six months ended June 30, 2026 represent the common shares issued at the Spin-Off and the common shares issued in connection with the vesting of RSUs under the 2024 Incentive Plan.

(2)

Diluted weighted shares outstanding for the three and six months ended June 30, 2026 include the incremental dilutive effect of unvested RSUs, calculated using the treasury stock method in accordance with ASC 260. Unvested RSUs outstanding resulted in an aggregate increase of 13,963 shares and 24,593 shares for the three and six months ended June 30, 2026, respectively.