Quarterly report pursuant to Section 13 or 15(d)

Earnings Per Share

v3.22.2.2
Earnings Per Share
 9 Months Ended
Sep. 30, 2022
Earnings Per Share [Abstract]  
Earnings Per Share

9. Earnings Per Share

Shares used in the computation of the Company’s basic and diluted earnings per share are as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

(in thousands, except per share data)

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Numerator

 

 

 

 

 

 

 

 

 

 

 

 

Net increase in net assets resulting from operations

 

$

53,202

 

 

$

23,549

 

 

$

39,548

 

 

$

170,443

 

Less: Distributions declared-common and restricted shares

 

 

(63,950

)

 

 

(45,190

)

 

 

(181,825

)

 

 

(133,143

)

(Over-)Undistributed earnings (loss)

 

 

(10,748

)

 

 

(21,641

)

 

 

(142,277

)

 

 

37,300

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Undistributed earnings-common shares

 

 

(10,748

)

 

 

(21,641

)

 

 

(142,277

)

 

 

36,931

 

Add: Distributions declared-common shares

 

 

63,421

 

 

 

44,770

 

 

 

180,114

 

 

 

131,829

 

Numerator for basic and diluted change in net assets per common share

 

$

52,673

 

 

$

23,129

 

 

$

37,837

 

 

$

168,760

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Denominator

 

 

 

 

 

 

 

 

 

 

 

 

Basic weighted average common shares outstanding

 

 

127,484

 

 

 

114,805

 

 

 

123,379

 

 

 

114,590

 

Incremental shares from assumed conversion of 2022 Convertible Notes

 

 

—

 

 

 

661

 

 

 

—

 

 

 

293

 

Common shares issuable

 

 

1,850

 

 

 

773

 

 

 

1,388

 

 

 

667

 

Weighted average common shares outstanding assuming dilution

 

 

129,334

 

 

 

116,239

 

 

 

124,767

 

 

 

115,550

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Change in net assets per common share

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.41

 

 

$

0.20

 

 

$

0.31

 

 

$

1.47

 

Diluted

 

$

0.41

 

 

$

0.20

 

 

$

0.30

 

 

$

1.46

 

In the table above, unvested share-based payment awards that have non-forfeitable rights to distributions or distribution equivalents are treated as participating securities for calculating earnings per share. Unvested common stock options and restricted stock units are also considered for the purpose of calculating diluted earnings per share.

As disclosed in “Note 5 – Debt”, on February 1, 2022, the Company fully repaid the 2022 Convertible Notes. As these notes were fully repaid, there is no dilutive impact for the current period ended September 30, 2022. In July 2021, the Company irrevocably elected combination settlement for the 2022 Convertible Notes. Therefore the dilutive impact of the 2022 Convertible Notes, was calculated for only the portion expected to be settled in stock as it relates to the diluted shares outstanding for the three and nine months ended September 30, 2021.

The calculation of change in net assets resulting from operations per common share assuming dilution, excludes all anti-dilutive shares. For the three and nine months ended September 30, 2022, and 2021, the number of anti-dilutive shares, as calculated based on the weighted average closing price of the Company’s common stock for the periods, are as follows:

 

 

Three months ended September 30,

 

 

Nine Months Ended September 30,

 

Anti-dilutive Securities

 

2022

 

 

2021

 

 

2022

 

 

2021

 

2022 Convertible Notes

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Unvested common stock options

 

 

865

 

 

 

198

 

 

 

1,725

 

 

 

88

 

Restricted stock units*

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Unvested restricted stock awards

 

 

3,982

 

 

 

710

 

 

 

1,611

 

 

 

720

 

Performance awards*

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

*Included in these amounts are shares related to certain equity-based awards, which are fully-vested but have not been delivered and thus not outstanding for purposes of calculating earnings per share.

As of both September 30, 2022 and December 31, 2021, the Company was authorized to issue 200.0 million shares of common stock with a par value of $0.001. Each share of common stock entitles the holder to one vote.