Earnings Per Share

12 Months Ended

Dec. 31, 2022

Basic net income per share is calculated by dividing net income by the weighted average number of shares of common stock outstanding during the period. Diluted net income per share assumes the conversion of all potentially dilutive securities and is calculated by dividing net income by the sum of the weighted average number of shares of common stock outstanding plus all potentially dilutive securities. Dilutive common shares consist primarily of stock options and restricted stock awards.

The following table sets forth the computation of basic and diluted earnings per share:


	2022		2021		2020
Numerator:	(in thousands, except share and per share data)
Net income	$	100,376	$	58,758	$	79,009
Denominator:
Basic weighted average shares	53,054,986		52,404,199		52,168,679
Effect of dilutive shares related to stock based compensation1	842,783		1,301,698		892,490
Effect of dilutive shares related contingent consideration2	199,303		23,092		—
Diluted weighted average shares	54,097,072		53,728,989		53,061,169
Earnings per share:
Basic	$	1.89	$	1.12	$	1.51
Dilutive	$	1.86	$	1.09	$	1.49
Anti-dilutive shares:
Shares	605,480		304,029		364,787
1 Dilutive shares related to stock options, restricted stock, PSUs and Key Employee Awards (Note 14)
2 Dilutive shares related to contingent shares issued to former owners of BASX (Note 4)