Net Income Per Share

9 Months Ended

Mar. 31, 2022

Basic income per share is determined by dividing net income by the weighted average common shares outstanding during the period. Diluted income per share is determined by dividing net income by diluted weighted average shares outstanding during the period. Diluted weighted average shares reflect the dilutive effect, if any, of potential common shares. To the extent their effect is dilutive, employee equity awards and other commitments to be settled in common stock are included in the calculation of diluted net income per share based on the treasury stock method.

The calculations of basic and diluted net income per share and basic and dilutive weighted average shares outstanding for the three and nine months ended March 31, 2022 and 2021 are as follows:


	Three Months Ended March 31,				Nine Months Ended March 31,
	2022		2021		2022		2021
	(Dollars and Shares in Thousands, Except Per Share Data)
Net income	$	75,123	$	62,495	$	176,386	$	224,358

Weighted average shares outstanding	66,594		67,920		66,791		67,809

Dilutive impact from:
Employee equity awards	420		688		450		630
Dilutive weighted average shares outstanding	67,014		68,608		67,241		68,439

Income per share
Basic	$	1.13	$	0.92	$	2.64	$	3.31
Dilutive	$	1.12	$	0.91	$	2.62	$	3.28

For the three and nine months ended March 31, 2022 and 2021, certain employee equity awards were anti-dilutive based on the treasury stock method. The following employee equity awards were excluded from the calculation of dilutive weighted average shares outstanding because their effect would be anti-dilutive as of March 31, 2022 and 2021:


	Three Months Ended March 31,		Nine Months Ended March 31,
	2022	2021	2022	2021
	(Shares in Thousands)
Employee equity awards	539	507	638	869

Included in the table above are options to purchase 28,504 and 29,586 shares of our common stock during the three and nine months ended March 31, 2022, which were not included in the computation of dilutive weighted average shares outstanding, because their exercise prices ranged from $144.83 per share to $167.96 per share during the nine months ended March 31, 2022, and were greater than the average market price of our common stock during the period then ended. These options were outstanding as of March 31, 2022 and expire at various dates through March 28, 2032.