Note 5 - Net Income per Share

9 Months Ended

Sep. 30, 2013

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

5. Net Income per Share 

Basic net income per share excludes dilution and is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted net income per share reflects the potential dilution that would occur if outstanding securities or other contracts to issue common stock were exercised or converted into common stock, and calculated using the treasury stock method.  The Company has securities outstanding, which could potentially dilute net income per share in the future, but were excluded from the computation of diluted net income per share in the periods presented, as their effect would have been anti-dilutive. The following table sets forth the computation of basic and diluted net income per share (in thousands, except per share amounts):

	Three months ended September 30,				Nine months ended September 30,
	2013		2012		2013		2012
Numerator:
Net income	$	7,410	$	5,921	$	15,399	$	15,508
Denominator:
Weighted average outstanding shares used to compute basic net income per share		37,910		35,145		37,079		34,677
Effect of dilutive securities		1,099		1,293		1,340		1,331
Weighted average outstanding shares used to compute diluted net income per share		39,009		36,438		38,419		36,008
Net income per share - basic	$	0.20	$	0.17	$	0.42	$	0.45
Net income per share - diluted	$	0.19	$	0.16	$	0.40	$	0.43

For the three months ended September 30, 2013 and 2012, approximately 1,000 and 1.0 million common stock equivalents, respectively, were excluded from the calculation of diluted net income per share because their inclusion would have been anti-dilutive.  For the nine months ended September 30, 2013 and 2012, approximately 7,000 and 1.3 million common stock equivalents, respectively, were excluded from the calculation of diluted net income per share because their inclusion would have been anti-dilutive.