Earnings Per Share

6 Months Ended

Jun. 30, 2017

Note 3 – Earnings Per Share

Basic earnings per share is computed using the weighted-average number of shares outstanding. Diluted earnings per share is computed using the weighted-average number of shares outstanding adjusted for the incremental shares attributed to outstanding stock equivalents. Stock equivalents include common shares issuable upon the exercise of stock options and other equity instruments, and are computed using the treasury stock method. Under the treasury stock method, the exercise price of a share, and the amount of compensation cost, if any, for future service that the Company has not yet recognized are assumed to be used to repurchase shares in the current period.

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


		Three Months Ended				Six Months Ended
		June 30,				June 30,
(in thousands, except per share data)			2017		2016		2017		2016
Net income		$	17,176	$	12,685	$	26,863	$	23,737

Denominator for basic earnings per share -
	weighted-average number of common
	shares outstanding during the period		49,766		49,323		49,640		49,586
Incremental common shares attributable to
	exercise of dilutive options		318		287		341		289
Incremental common shares attributable
	to outstanding restricted stock units		155		57		228		167
Denominator for diluted earnings per share			50,239		49,667		50,209		50,042

Basic earnings per share		$	0.35	$	0.26	$	0.54	$	0.48
Diluted earnings per share		$	0.34	$	0.26	$	0.54	$	0.47

Options to purchase 1.0 million common shares for both the three- and six-month periods ended June 30, 2016 were not included in the computation of diluted earnings per share because their effect would have been anti-dilutive.