Note 6 - Net Income Per Share

9 Months Ended

Sep. 30, 2025

Notes to Financial Statements

Earnings Per Share [Text Block]

6. NET INCOME PER SHARE

Basic net income per share is computed by dividing net income by the weighted-average number of shares of common stock outstanding for the period. Diluted net income per share reflects the potential dilution from contingently issuable shares and calculated using the treasury stock method. Contingently issuable shares, including all types of equity awards, are considered outstanding shares of common stock and included in basic net income per share as of the date that all necessary conditions to earn the awards have been satisfied. Prior to the end of the contingency period, the number of contingently issuable shares included in diluted net income per share is based on the number of shares, if any, that would be issuable under the terms of the arrangement at the end of the reporting period.

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,
	2025		2024		2025		2024
Numerator:
Net income	$	178,274	$	144,430	$	445,791	$	337,337
Denominator:
Weighted-average outstanding shares—basic		47,898		48,757		47,879		48,692
Effect of dilutive securities		144		207		143		253
Weighted-average outstanding shares—diluted		48,042		48,964		48,022		48,945
Net income per share:
Basic	$	3.72	$	2.96	$	9.31	$	6.93
Diluted	$	3.71	$	2.95	$	9.28	$	6.89

Anti-dilutive common stock equivalents were not material for the periods presented.