Earnings Per Share

9 Months Ended

Sep. 30, 2024

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 for the nine months ended September 30, 2024 and 2023:


	Three Months Ended				Nine Months Ended
	September 30, 2024		September 30, 2023		September 30, 2024		September 30, 2023
Numerator:	(in thousands, except share and per share data)
Net income	$	52,625	$	48,078	$	143,869	$	130,574
Denominator:
Basic weighted average shares	81,089,476		81,418,800		81,448,413		81,140,473
Effect of dilutive shares related to stock based compensation1	2,017,601		1,974,254		2,068,574		1,993,664
Effect of dilutive shares related to contingent consideration2	—		—		63,002		141,071
Diluted weighted average shares	83,107,077		83,393,054		83,579,989		83,275,208
Earnings per share:
Basic	$	0.65	$	0.59	$	1.77	$	1.61
Dilutive	$	0.63	$	0.58	$	1.72	$	1.57
Anti-dilutive shares:
Shares	385,756		360,408		312,157		296,072
1 Dilutive shares related to stock options, restricted stock, PSUs and Key Employee Awards (Note 13)
2 Dilutive shares related to contingent shares issued to the former owners of BASX (Note 16)