NET INCOME PER SHARE

The following table sets forth the calculation of basic and diluted net income per share (in thousands except per share data):



	Year Ended December 31,
	2018		2017		2016
Numerator:
Net income	$	238,334	$	122,695	$	85,071
Denominator:
Denominator for basic net income per share — weighted-average outstanding shares	36,058		33,200		32,167
Effect of dilutive securities:
Stock options and restricted stock awards	390		359		269
Denominator for diluted net income per share — weighted-average outstanding shares	36,448		33,559		32,436

Net income per share — basic	$	6.61	$	3.70	$	2.64
Net income per share — diluted	$	6.54	$	3.66	$	2.62

Stock options to purchase approximately 64,000, 87,000 and 194,000 shares that were outstanding for the years ended December 31, 2018, December 31, 2017 and December 31, 2016, respectively, were not included in the computation of diluted net income per share because the inclusion of the potentially dilutive common shares would have an anti-dilutive effect. Shares underlying restricted common stock awards that vest based on Company performance and service conditions that have not been achieved as of the end of the period are not included in the computation of basic or diluted earnings per share. Shares underlying restricted stock units that vest based on Company service conditions, that have not been achieved as of the end of the period are not included in the computation of basic or diluted earnings per share. The following table summarizes the shares underlying the performance-based restricted stock awards and service-based restricted stock units excluded from the basic and diluted calculation (in thousands):



	Year Ended December 31,
	2018	2017	2016
Performance-based restricted stock awards	53	58	59
Service-based restricted stock units	1	1	1
Total shares excluded from computation	54	59	60