Net Earnings Per Share

3 Months Ended

Mar. 31, 2023

Basic EPS is computed by dividing net earnings available to common stockholders by the weighted average number of common shares outstanding during each period. Diluted EPS is computed on the basis of the weighted average number of shares of common stock plus the effect of dilutive potential common shares outstanding during the period using the treasury stock method. Dilutive potential common shares include outstanding restricted stock units (“RSUs”) and certain shares underlying the Notes and the warrants relating to the Call Spread Transactions. A reconciliation of the denominators of the basic and diluted EPS calculations follows (in thousands, except per share data):


	Three Months Ended March 31,
	2023		2022
Numerator:
Net earnings	$	49,972	$	56,631
Denominator:
Weighted average shares used to compute basic EPS	33,706		34,974
Dilutive potential common shares due to dilutive RSUs, net of tax effect	314		330
Dilutive potential common shares due to the Notes	2,310		1,677
Dilutive potential common shares due to the Warrants	877		—
Weighted average shares used to compute diluted EPS	37,207		36,981
Net earnings per share:
Basic	$	1.48	$	1.62
Diluted	$	1.34	$	1.53

For the three months ended March 31, 2023, 84,137 of our RSUs were excluded from the diluted EPS calculations because their inclusion would have been anti-dilutive. For the three months ended March 31, 2022, 13,000 of our RSUs were excluded from the diluted EPS calculations and certain potential outstanding shares from the warrants related to the Call Spread Transactions were excluded from the diluted EPS calculations because their inclusion would have been anti-dilutive.