EARNINGS PER SHARE

6 Months Ended

Mar. 31, 2020

Basic earnings per share (EPS) is calculated by dividing Net income available to common stockholders by the weighted-average number of common shares outstanding during the period, excluding the effects of unvested restricted stock awards with a right to receive non-forfeitable dividends, which are considered participating securities as prescribed by the two-class method under ASC 260 “Earnings per Share”. Diluted EPS is calculated in a similar manner, but the weighted-average number of common shares outstanding during the period is increased to include the weighted-average dilutive effect of “in-the-money” stock options and unvested restricted stock shares and units using the treasury stock method.

The standards of accounting for earnings per share require companies to provide a reconciliation of the numerator and denominator of the basic and diluted earnings per share computations. Basic and diluted earnings per share were calculated as follows:


	Three Months Ended March 31,						Six Months Ended March 31,
	2020		2019		2020		2019
Numerator:
Net income available to common shares	$	32,899	$	27,137	$	71,448	$	40,580

Denominator:
Weighted average common shares	29,287,211		28,997,632		29,182,528		28,065,759
(Denominator for basic calculation)
Weighted average effect of dilutive securities	437,968		481,482		483,908		541,274
Diluted weighted average common shares	29,725,179		29,479,114		29,666,436		28,607,033
(Denominator for diluted calculation)

Earnings per share:

Basic	$	1.12	$	0.94	$	2.45	$	1.45

Diluted	$	1.11	$	0.92	$	2.41	$	1.42

Approximately 111 thousand and 79 thousand shares for the three and six months ended March 31, 2020, respectively, and 216 thousand and 110 thousand for the three and six months ended March 31, 2019, respectively, attributable to outstanding stock options were excluded from the calculation of Diluted earnings per share because the exercise price of the options was greater than the average market price of our common stock and, therefore, their inclusion would have been anti-dilutive.