Earnings per Share

9 Months Ended

Sep. 30, 2017

Note 13. Earnings per Share

Basic EPS is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted EPS is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential common shares outstanding during the period. For all periods presented, potentially dilutive outstanding shares consisted of equity incentive awards. Restricted stock issued in connection with the RowdMap Acquisition was also included in the calculation of dilutive potential common shares for the three and nine months ended September 30, 2017. Our potential common shares consist of the incremental common shares issuable upon the exercise of stock options or vesting of RSUs and restricted stock. The dilutive effect of outstanding equity incentive awards is reflected in diluted earnings per share by application of the treasury stock method. For all periods presented, all outstanding common stock consisted of a single class.

Basic and diluted earnings per share are computed as follows:


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2017		2016		2017		2016
Net income available to common stockholders	$	19,472	$	4,583	$	67,535	$	23,560

Weighted average outstanding shares of common stock		92,273,105		90,170,462		91,813,864		83,275,206
Dilutive effect of stock-based awards and restricted stock		2,992,632		3,783,441		3,337,591		3,582,720
Adjusted weighted average outstanding and assumed conversions for diluted EPS		95,265,737		93,953,903		95,151,455		86,857,926

Earnings per share:
Basic	$	0.21	$	0.05	$	0.74	$	0.28
Diluted		0.20		0.05		0.71		0.27

Employee stock options, RSUs and restricted stock that were excluded from the calculation of diluted earnings per share because their effect is anti‑dilutive for the periods presented were as follows:


	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2017	2016	2017	2016

Employee stock-based awards and restricted stock	1,155,968	35,737	699,629	327,880

The criteria associated with all of our outstanding performance-based stock options as defined in the terms of the applicable award agreements, were satisfied as of September 30, 2016 and, as a result, 2,746,592 outstanding performance-based stock options were included in the calculation of diluted earnings per share for the three and nine months ended September 30, 2016. Performance-based restricted stock of 76,802 shares were not included in the calculation of diluted earnings per share for the three and nine months ended, September 30, 2017 as the vesting conditions were not probable of occurring.