Earnings Per Share

6 Months Ended

Jun. 30, 2022

NOTE 9. Earnings Per Share

Basic earnings per share is calculated by dividing Net income by the weighted-average number of shares of common stock outstanding. Diluted earnings per share is similarly calculated, except that the calculation includes the dilutive effect of the assumed issuance of shares under stock-based compensation plans, unless the inclusion of such shares would have an anti-dilutive effect. The computation of Earnings per share is as follows (in thousands, except per share data):


	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net income	$	5,545	$	5,966	$	9,885	$	11,244
Basic weighted-average common shares outstanding		69,194		68,869		69,329		68,328
Effect of dilutive stock-based compensation awards (1)		1,063		1,825		1,176		2,462
Diluted weighted-average common shares outstanding		70,257		70,694		70,505		70,790
Earnings per share, basic	$	0.08	$	0.09	$	0.14	$	0.16
Earnings per share, diluted		0.08		0.08		0.14		0.16

(1)

There were 3,141 and 1,316 potential common shares excluded from diluted weighted-average common shares outstanding for the three months ended June 30, 2022 and June 30, 2021, respectively, and 2,774 and 1,362 potential common shares for the six months ended June 30, 2022 and June 30, 2021, respectively, as their inclusion would have had an anti-dilutive effect.