Computation of Earnings Per Share

6 Months Ended

Jun. 30, 2022

Basic earnings per share (“EPS”) is computed by dividing net income by the weighted average number of shares of Common Stock outstanding during the period. Diluted EPS reflects the potential dilution of securities that could share in earnings. Potential shares of common stock are excluded from the computation of diluted earnings per share when their effect would be anti-dilutive.

The table below sets forth the calculation of basic and diluted income per share for the periods indicated (in thousands, except per share data).


	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2022		2021		2022		2021
Numerator:
Net income used for calculating basic and diluted income per share	$	204,925	$	271,236	$	377,440	$	435,336
Denominator:
Weighted average common shares used in the calculation of basic income per share	80,271		85,712		81,145		87,032
Dilutive effect of outstanding awards associated with stock-based compensation plans (1)	703		877		866		889
Shares used in the calculation of diluted income per share	80,974		86,589		82,011		87,921
Basic income per share	$	2.55	$	3.16	$	4.65	$	5.00
Diluted income per share	$	2.53	$	3.13	$	4.60	$	4.95

(1)Certain outstanding awards associated with stock-based compensation plans were not included in the computation of diluted income per share because the effect would have been anti-dilutive. These anti-dilutive outstanding awards associated with stock-based compensation plans totaled approximately 0.4 million and 0.1 million for the three months ended June 30, 2022 and 2021, respectively, and 0.3 million and 0.1 million for the six months ended June 30, 2022 and 2021, respectively.