Earnings per Share

12 Months Ended

Dec. 31, 2020

Earnings Per Share

The Company reports its earnings 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 available to common shareholders) when their impact on net income available to common shareholders is anti-dilutive.

Potentially dilutive securities for the years ended December 31, 2020, 2019, and 2018 include all outstanding stock options and RSUs, and the potentially dilutive effect of outstanding warrants. Prior to the June and November 2020 repayments of the Company's 1.00% Convertible Senior Notes, potentially dilutive securities also included the shares underlying the Convertible Senior Notes and the associated note hedges that were settled and terminated in the second and fourth quarter upon repayment of the corresponding note principal. The outstanding warrants, shares underlying the convertible notes and note hedges were excluded from diluted shares outstanding during the years ended December 31, 2020, 2019 and 2018 as the exercise price exceeded the average market price of the Company’s common shares in all periods presented. See Note 11. Current and Long-Term Debt, for further discussion of the Company's Convertible Notes and associated derivatives.

The details of the Company's Earnings per Share calculation are as follows:


		Year Ended December 31,

		2020		2019		2018
	(in thousands, excluding share and per share amounts)
Net income available to common shareholders		$	19,144	$	48,274	$	3,676
Weighted average common basic shares outstanding (for basic calculation)		44,537,467		45,514,703		45,988,775
Dilutive effect of outstanding common stock options and RSUs		860,027		500,631		447,664
Weighted average common dilutive shares outstanding (for diluted calculation)		45,397,494		46,015,334		46,436,439

Net income per common share - basic		$	0.43	$	1.06	$	0.08
Net income per common share - diluted		$	0.42	$	1.05	$	0.08

The computations of diluted earnings per share for the years ended December 31, 2020, 2019 and 2018 exclude approximately 390,000, 133,000 and 288,000 potentially dilutive common shares, respectively, because the effect of including these shares in the computation would have been antidilutive. In addition, the computation of diluted earnings per share for the years ended December 31, 2020 and 2019 exclude approximately 52,000 and 220,000 weighted average dilutive shares, respectively, that are contingently issuable, consisting of market-based and performance based awards for which all necessary conditions had not been satisfied.