Income Per Share

6 Months Ended

Jun. 30, 2020

Income Per Share

Net Income Per Share

10. INCOME PER SHARE

Basic net income per share is calculated by dividing net income by the number of weighted average shares outstanding during the period, without consideration for common stock equivalents.

Diluted net income per share is calculated by adjusting the number of weighted average shares outstanding for the dilutive effect of common stock equivalents outstanding for the period, determined using the treasury stock method.  

Basic and diluted net income per share were computed as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2020		2019		2020		2019
Net income (in thousands) - basic and diluted	$	55,496	$	52,051	$	106,268	$	90,035
Weighted average number of common shares outstanding - basic		32,867,842		33,976,169		33,018,148		34,072,314
Dilutive effect of common stock equivalents:
RSAs with service-based conditions		47,618		84,952		59,419		88,516
RSAs with market-based conditions		146,496		174,840		138,760		177,436
RSAs with performance-based conditions		17,314		71,246		33,546		53,618
Stock options		123,153		250,457		151,262		238,164
Weighted average number of common shares outstanding - diluted		33,202,423		34,557,664		33,401,135		34,630,048
Basic net income per common share	$	1.69	$	1.53	$	3.22	$	2.64
Diluted net income per common share	$	1.67	$	1.51	$	3.18	$	2.60

The following table summarizes shares excluded from the calculation of diluted net income per share because their effect would have been anti-dilutive:

	Three Months Ended June 30,				Six Months Ended June 30,
	2020		2019		2020		2019
Anti-dilutive common stock equivalents:
RSAs with service-based conditions		7,281		1,087		6,276		7,897
RSAs with market-based conditions		—		—		4,171		9,851
RSAs with performance-based conditions		—		—		—		—
Stock options		61,370		81,411		46,718		102,550
Total anti-dilutive common stock equivalents		68,651		82,498		57,165		120,298