Company: GHC
Filing Date: 2025-04-30
Form Type: 10-Q
Source: 0000104889-25-000032
Chunk: 57

Company: Graham Holdings Co
Filing Date: 2025-04-30
Form: 10-Q
Item: Part I, Item 8
Chunk 57
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, 2025, the deferred revenue balance related to certain medical and nursing qualifications with an original contract length greater than twelve months at Kaplan Supplemental Education was $6.0 million. Kaplan Supplemental Education expects to recognize 67% of this revenue over the next twelve months and the remainder thereafter. Costs to Obtain a Contract.  The following table presents changes in the Company’s costs to obtain a contract asset: (in thousands)Balance at Beginning of PeriodCosts associated with new contractsLess: Costs amortized during the periodOtherBalance at End of Period2025$42,121 $26,152 $(25,700)$1,067 $43,640 The majority of other activity was related to currency translation adjustments for the three months ended March 31, 2025.

10.    EARNINGS PER SHARE

The Company’s unvested restricted stock awards contain nonforfeitable rights to dividends and, therefore, are considered participating securities for purposes of computing earnings per share pursuant to the two-class method. The diluted earnings per share computed under the two-class method is lower than the diluted earnings per share computed under the treasury stock method, resulting in the presentation of the lower amount in diluted earnings per share. The computation of the earnings per share under the two-class method excludes the income attributable to the unvested restricted stock awards from the numerator and excludes the dilutive impact of those underlying shares from the denominator.

14

The following reflects the Company’s net income and share data used in the basic and diluted earnings per share computations using the two-class method:Three Months Ended  March 31(in thousands, except per share amounts)20252024Numerator:Numerator for basic earnings per share:    Net income attributable to Graham Holdings Company common stockholders$23,894 $124,380 Less: Dividends paid-common stock outstanding and unvested restricted shares(15,662)(15,352)Undistributed earnings8,232 109,028 Percent allocated to common stockholders99.38 %99.33 %8,182 108,295 Add: Dividends paid-common stock outstanding15,563 15,250 Numerator for basic earnings per share$23,745 $123,545 Add: Additional undistributed earnings due to dilutive stock options— 4 Numerator for diluted earnings per share$23,745 $123,549 Denominator:Denominator for basic earnings per share:Weighted average shares