Computation of Earnings Per Share (Tables)

6 Months Ended

Jun. 30, 2020

Schedule of Earnings Per Share, Basic and Diluted

The following table reconciles net income and the weighted-average shares used in computing basic and diluted earnings per share (in thousands):


	Three Months Ended June 30,						Six Months Ended June 30,
	2020		2019		2020		2019
Numerator:
Net income used for basic earnings per share	$	67,652	$	1,270	$	107,889	$	26,114
Interest expense on Convertible Senior Notes, net of tax (1)	179		—		360		1,489
Net income used for diluted earnings per share, if-converted method (1)	$	67,831	$	1,270	$	108,249	$	27,603

Basic weighted-average common shares outstanding	42,117		40,209		42,086		39,957
Dilutive potential shares issuable from Convertible Senior Notes (1)	392		6		401		1,062
Dilutive potential shares issuable from stock options and unvested RSUs	1,237		1,214		1,087		1,296
Diluted weighted-average common shares outstanding, if-converted (1)	43,746		41,429		43,574		42,315
Potentially dilutive shares excluded from calculation due to anti-dilutive effect (2)	—		227		1		183

(1) The if-converted method was not applicable for the three months ended June 30, 2019 due to its anti-dilutive impact. For the three months ended June 30, 2019, the number of potentially dilutive shares issuable from Convertible Senior Notes under the if-converted method was 1.6 million shares.

(2) Potentially dilutive shares excluded from the calculation above represent stock options when the combined exercise price and unrecognized stock-based compensation are greater than the average market price for the Company’s common stock because their effect is anti-dilutive.