Earnings per Share

12 Months Ended

Dec. 31, 2022

The basic and diluted earnings per share (“EPS”), and the basic and diluted weighted average shares outstanding for all periods as presented in the accompanying consolidated statements of income are shown below:


	For the year ended December 31,
	(In thousands, except per share amounts)
Earnings per share:	2022		2021		2020
Basic earnings per common share	$	2.10	$	2.23	$	3.03
Diluted earnings per common share	$	2.10	$	2.22	$	3.02
Basic weighted average shares outstanding	30,761		30,625		30,510
Diluted weighted average shares outstanding	30,761		30,664		30,571

Basic EPS is equal to net income attributable to Ebix, Inc. divided by the weighted average number of shares of common stock outstanding for the period. Diluted EPS takes into consideration common stock equivalents, which for the Company consist of stock options and restricted stock. With respect to stock options, diluted EPS is calculated as if the Company had additional common stock outstanding from the beginning of the year or the date of grant or issuance, net of assumed repurchased shares using the treasury stock method. With respect to restricted stock, diluted EPS is calculated as if the Company had additional common stock outstanding from the beginning of the year or the date of grant or issuance. Diluted EPS is equal to net income attributable to Ebix, Inc. divided by the combined sum of the weighted average number of shares outstanding and common stock equivalents. At December 31, 2022, 2021, and 2020 there were 180,000, 177,000, and 181,875, respectively, of potentially issuable shares with respect to stock options which could dilute EPS in the future but which were excluded from the diluted EPS calculation because presently their effect is anti-dilutive. Diluted shares outstanding are determined as follows for each year ended December 31, 2022, 2021, and 2020:


	For the year ended December 31,
	(In thousands)
	2022	2021	2020
Basic weighted average shares outstanding	30,761	30,625	30,510
Incremental shares for common stock equivalents	—	39	61
Diluted shares outstanding	30,761	30,664	30,571