Note 11 — Earnings per Share

The computations of basic and diluted EPS are set forth below:



	For the Years Ended December 31,
	2018			2017				2016
	(in thousands, except per share amounts)
Numerator for basic and diluted EPS — net income (loss)	$	39,222		$	(26,651	)		$	60,762
Denominator for basic EPS — weighted average number of shares	26,813			32,075				32,043
Add — dilutive effect of:
Restricted stock units and Cogent Earnout shares	825		(1)	—			(1)	31		(1)
Denominator for diluted EPS — weighted average number of shares and dilutive securities	27,638			32,075				32,074
Earnings (loss) per share:
Basic EPS	$	1.46		$	(0.83	)		$	1.90
Diluted EPS	$	1.42		$	(0.83	)		$	1.89

Beginning in the third quarter of 2018, the weighted average number of shares and dilutive potential shares include 334,048 shares of common stock that will be issued to certain selling unitholders of Cogent in April 2019 as the revenue target related to the Earnout was achieved during the quarter ended September 30, 2018. See “Note 7 — Fair Value of Financial Instruments”.

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(1)

Excludes 672,518, 2,617,043, and 849,965 outstanding restricted stock units that were antidilutive under the treasury stock method for the years ended December 31, 2018, 2017 and 2016, respectively, and thus were not included in the above calculation. The incremental shares that could be included in the diluted EPS calculation in future periods will vary based on a variety of factors, including the future share price and the amount of unrecognized compensation cost. The incremental shares included, if any, would be less than the number of outstanding restricted stock units.