Earnings (Loss) Per Share

6 Months Ended

Jun. 30, 2020

(5) Earnings (Loss) Per Share

The Company reports its earnings (loss) per share under the two-class method. Under this method, potentially dilutive securities are excluded from the calculation of diluted earnings per share (as well as their related impact on the net income or loss available to common shareholders) when their impact on net income or loss available to common shareholders is anti-dilutive.

Potentially dilutive securities for the three and six months ended June 30, 2020, include outstanding stock options, RSUs, and the potentially dilutive effect of outstanding warrants and the underlying shares exercisable under the Company’s 1.00% Convertible Senior Notes due 2020 (the “Convertible Notes”). The potentially dilutive effect of outstanding warrants and the underlying shares exercisable under the Convertible Notes were excluded from diluted shares outstanding as the exercise price

exceeded the average market price of the Company’s common shares. The effect of the note hedge, described in Note. 9. Current and long-term debt, was also excluded as the effect is anti-dilutive.

The allocated details of our Earnings per Share are as follows:


	Three Months Ended June 30,						Six Months Ended June 30,

	2020		2019		2020		2019
	(in thousands, excluding share and per share amounts)
Net (loss) income available to common shareholders	$	(1,922)	$	10,471	$	3,833	$	14,790
Weighted average common basic shares outstanding (for basic calculation)	44,465,183		46,180,161		44,597,504		46,201,842
Dilutive effect of outstanding common stock options and RSUs	—		421,327		844,283		418,305
Weighted average common dilutive shares outstanding (for diluted calculation)	44,465,183		46,601,488		45,441,787		46,620,147

Net (loss) income per common share - basic	$	(0.04)	$	0.23	$	0.09	$	0.32
Net (loss) income per common share - diluted	$	(0.04)	$	0.22	$	0.08	$	0.32

The computation of diluted earnings per share for the three months ended June 30, 2020 excludes the effect of 615,690 weighted average shares that were anti-dilutive due to the Net loss in the period.

In addition, the computations of diluted earnings per share for the three and six months ended June 30, 2020 exclude approximately 900,000 and 250,000, respectively, potentially dilutive common shares due to the effect of including these shares in the computation would have been antidilutive. In addition, the computations of diluted earnings per share for the three and six months ended June 30, 2020 excludes approximately 70,000 and 20,000, respectively, weighted average dilutive shares that are contingently issuable, consisting of market-based and performance based awards for which all necessary conditions had not been satisfied.