Computation of Net Earnings per Share

6 Months Ended

Jun. 30, 2021

Computation of Net Earnings per Share

Computation of Net Earnings per Share

Note 6.  Computation of Net Earnings per Share

Basic earnings per share is computed by dividing income available to common stockholders (the numerator) by the weighted-average number of common shares outstanding (the denominator) for the period. The computation of diluted earnings per share is similar to basic earnings per share, except that the denominator is increased by the number of additional common shares that would have been outstanding if the potentially dilutive common shares issuable on exercise of stock options and vesting of RSUs had been issued, calculated using the treasury stock method.

The components of net earnings per share are as follows:

	Three months ended				Six months ended
	June 30,				June 30,
	2021		2020		2021		2020
	(in thousands, except per share amounts)
Net income available to common stockholders	$	18,906	$	13,302	$	35,386	$	24,523
Weighted average common shares outstanding used in computing basic income per share		33,677		33,116		33,696		32,998
Incremental options and RSUs		634		842		777		1,025
Weighted average common shares used in computing diluted net income per share		34,311		33,958		34,473		34,023
Net income per share
Basic	$	0.56	$	0.40	$	1.05	$	0.74
Diluted	$	0.55	$	0.39	$	1.03	$	0.72

Diluted weighted average common shares outstanding does not include 1,800 and 3,138 common equivalent shares issuable with respect to outstanding equity awards for the three-month periods ended June 30, 2021 and 2020, respectively, or 1,352 and 5,006 common equivalent shares issuable with respect to outstanding equity awards for the six-month periods ending June 30, 2021 and 2020, respectively, as their effect would have been anti-dilutive.