Earnings Per Share

12 Months Ended

Jun. 30, 2020

11. Earnings Per Share

The following table presents a reconciliation of the numerators and denominators used in the basic and diluted earnings per common share computations (in thousands except share and per share amounts):


	Year Ended June 30,
	2020		2019		2018
Numerator
Net (loss) income	$	(27,236)	$	(255)	$	1,712
Income allocated to participating securities	—		—		(19)
Net (loss) income available to common stockholders	$	(27,236)	$	(255)	$	1,693
Denominator
Weighted average common shares outstanding — basic	34,275,957		33,535,759		33,145,140
Effect of dilutive stock options⁽¹⁾	—		—		15,039
Effect of dilutive restricted stock units⁽²⁾	—		—		335,869
Effect of performance-based restricted stock awards ⁽³⁾	—		—		118,212
Weighted average common shares outstanding — diluted	34,275,957		33,535,759		33,614,260

Earnings per common share — basic	$	(0.79)	$	(0.01)	$	0.05
Earnings per common share — diluted	$	(0.79)	$	(0.01)	$	0.05

(1)At June 30, 2020 and 2018; 42,528 and 22,321 stock options, respectively, were outstanding. The effect of the shares that would be issued upon exercise of these options has been excluded from the calculation of diluted loss per share as of June 30, 2020, because those shares are anti-dilutive. No stock options were outstanding at June 30, 2019.

(2)At June 30, 2020, 2019, and 2018; 247,197, 354,176 and 335,869 additional shares of common stock, respectively, were issuable upon the settlement of outstanding restricted stock units. The effect of the shares that would be issued upon settlement of these restricted stock units has been excluded from the calculation of diluted loss per share as of June 30, 2020 and 2019, because those shares are anti-dilutive.

(3)At June 30, 2020, 2019, and 2018; 660,622, 753,872, and 531,178 respectively, of performance-based restricted stock awards were outstanding. The effect of the shares that would be issued upon vesting of these awards has been excluded from the calculation of diluted loss per share as of June 30, 2020 and 2019, because those shares are anti-dilutive.

Unvested time-based restricted stock awards that contain nonforfeitable rights to dividends are participating securities and included in the computation of earnings per share pursuant to the two-class method. Under this method, earnings attributable to the Company are allocated between common stockholders and the participating awards, as if the awards were a second class of stock. During periods of net income, the calculation of earnings per share excludes the income attributable to participating securities in the numerator and the dilutive impact of these securities from the denominator. In the event of a net loss, undistributed earnings are not allocated to participating securities and the denominator excludes the dilutive impact of these securities as they do not share in the losses of the Company. During the year ended June 30, 2018, undistributed earnings allocated to participating securities were based on 382,476 unvested time-based restricted stock awards.