Note 5. Earnings Per Share

Basic net income (loss) per share has been computed using the weighted-average number of shares of common stock outstanding during the period. Diluted net income (loss) per share has been computed using the weighted-average number of shares of common stock and dilutive potential common shares from stock options and restricted stock units outstanding during the period. In periods with net losses, normally dilutive shares become anti-dilutive.Therefore, basic and diluted earnings per share are the same.

The following table sets forth the computation of the basic and diluted net income (loss) per share for the periods indicated (in thousands, except per share amounts):


	Three months ended September 30,				Nine months ended September 30,
	2018		2017		2018		2017

Numerator:
Net income (loss)	$	(3,732)	$	19,375	$	6,422	$	68,235
Denominator:
Weighted average shares used to compute net income (loss) per share
Basic		19,707		19,294		19,597		18,993
Effect of dilutive options and restricted stock units		—		1,129		442		1,141
Diluted		19,707		20,423		20,039		20,134
Net income (loss) per share
Basic	$	(0.19)	$	1.00	$	0.33	$	3.59
Diluted	$	(0.19)	$	0.95	$	0.32	$	3.39

The following potentially dilutive securities were excluded from the diluted net income (loss) per share as their effect would have been antidilutive:


	Three months ended September 30,		Nine months ended September 30,
	2018	2017	2018	2017

Employee stock options	247	—	—	—
Restricted stock units	231	—	—	—
Total antidilutive shares	478	—	—	—