EARNINGS PER SHARE

12 Months Ended

Dec. 31, 2022

EARNINGS PER SHAREBasic earnings per share is computed by dividing net income available to common shareholders by the weighted average number of shares of common stock outstanding during the period. For purposes of computing basic earnings per share, any nonvested shares of restricted stock that have been issued by the Company and are contingently returnable to the Company are excluded from the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share is computed by dividing net income available to common shareholders by the weighted average number of shares of common stock outstanding during the period increased to include the number of additional shares of common stock that would have been outstanding if the potentially dilutive securities had been issued. Potentially dilutive securities include outstanding stock options, unvested restricted stock, unvested equity-settled RSUs and the stock to be issued under the Company’s ESPP. The dilutive effect of potentially dilutive securities is reflected in diluted earnings per share by application of the treasury stock method.

The following table sets forth the computation of basic and diluted earnings per share of common stock as follows:


	For the Years Ended December 31,
	2022		2021		2020
Numerator for basic and diluted earnings per share:
Net income	$	419,416	$	481,652	$	327,160
Numerator for basic and diluted earnings per share	$	419,416	$	481,652	$	327,160

Denominator:
Weighted average common shares for basic earnings per share	57,291		56,511		55,727
Net effect of dilutive stock options, restricted stock units, restricted stock awards and stock issuable under the ESPP	1,878		2,553		2,719
Weighted average common shares for diluted earnings per share	59,169		59,064		58,446

Net Income per share:
Basic	$	7.32	$	8.52	$	5.87
Diluted	$	7.09	$	8.15	$	5.60

The number of shares underlying equity-based awards that were excluded from the calculation of diluted earnings per share as their effect would be anti-dilutive was 264 thousand, 32 thousand and 40 thousand for the years ended December 31, 2022, 2021 and 2020, respectively.

Net income attributable to noncontrolling interests recognized in connection with the acquisition of Emakina on November 3, 2021 was immaterial for the years ended December 31, 2022 and 2021.