Net Income per Share

6 Months Ended

Jul. 31, 2018

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.

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, 2018	July 31, 2017	July 31, 2018	July 31, 2017
Anti-dilutive options and restricted stock units	55,810	209,400	36,384	409,136

The computation of earnings per share is presented below:



	Three Months Ended				Six Months Ended
	July 31, 2018		July 31, 2017		July 31, 2018		July 31, 2017
Numerator:
Net income attributable to Raven Industries, Inc.	$	13,677	$	8,235	$	35,812	$	20,583

Denominator:
Weighted average common shares outstanding	35,893,132		36,096,048		35,859,614		36,088,095
Weighted average fully vested stock units outstanding	102,339		109,146		95,027		103,966
Denominator for basic calculation	35,995,471		36,205,194		35,954,641		36,192,061

Weighted average common shares outstanding	35,893,132		36,096,048		35,859,614		36,088,095
Weighted average fully vested stock units outstanding	102,339		109,146		95,027		103,966
Dilutive impact of stock options and restricted stock units	429,409		348,795		455,595		322,661
Denominator for diluted calculation	36,424,880		36,553,989		36,410,236		36,514,722

Net income per share ─ basic	$	0.38	$	0.23	$	1.00	$	0.57
Net income per share ─ diluted	$	0.38	$	0.23	$	0.98	$	0.56