Net Income per Share

6 Months Ended

Jul. 31, 2017

NET INCOME PER SHARE

Basic net income per share is computed by dividing net income by the weighted average common shares and fully vested stock units outstanding. Diluted net income per share is computed by dividing net income by the weighted average common and common equivalent shares outstanding which includes the shares issuable upon exercise of employee stock options (net of shares assumed purchased with the option proceeds), stock units, and restricted stock units outstanding. Performance share awards are included in the diluted calculation based upon what would be issued if the end of the most recent reporting period was the end of the term of the award. Weighted average common and common equivalent shares outstanding are excluded from the diluted loss per share calculation if their inclusion would have an antidilutive effect.

Certain outstanding options and restricted stock units were excluded from the diluted net income per-share calculations because their effect would have been anti-dilutive under the treasury stock method. The options and restricted stock units excluded from the diluted net income per-share share calculation were as follows:



	Three Months Ended		Six Months Ended
	July 31, 2017	July 31, 2016	July 31, 2017	July 31, 2016
Anti-dilutive options and restricted stock units	209,400	924,204	409,136	1,102,952

The computation of earnings per share is presented below:



	Three Months Ended				Six Months Ended
	July 31, 2017		July 31, 2016		July 31, 2017		July 31, 2016
Numerator:
Net income attributable to Raven Industries, Inc.	$	8,235	$	4,495	$	20,583	$	10,012

Denominator:
Weighted average common shares outstanding	36,096,048		36,097,228		36,088,095		36,208,573
Weighted average fully vested stock units outstanding	109,146		110,083		103,966		102,035
Denominator for basic calculation	36,205,194		36,207,311		36,192,061		36,310,608

Weighted average common shares outstanding	36,096,048		36,097,228		36,088,095		36,208,573
Weighted average fully vested stock units outstanding	109,146		110,083		103,966		102,035
Dilutive impact of stock options and restricted stock units	348,795		43,001		322,661		51,547
Denominator for diluted calculation	36,553,989		36,250,312		36,514,722		36,362,155

Net income per share - basic	$	0.23	$	0.12	$	0.57	$	0.28
Net income per share - diluted	$	0.23	$	0.12	$	0.56	$	0.28