Net income per share is computed by dividing net income by the daily weighted average number of common shares outstanding during the applicable periods. Diluted net income per share includes the potentially dilutive effect of common shares subject to outstanding stock options and restricted stock awards using the treasury stock method. Under the treasury stock method, shares subject to certain outstanding stock options and restricted stock awards have been excluded from the calculation of the diluted weighted average shares outstanding because the exercise of those options or the vesting of those restricted stock awards would lead to a net reduction in common shares outstanding. As a result, stock options and restricted stock awards to acquire 5,000 and 22,065 weighted common shares have been excluded from the diluted weighted shares outstanding for the three-month periods ended September 30, 2019 and 2018, respectively, and 11,000 and 64,041 weighted common shares have been excluded from the diluted weighted shares outstanding for the nine-month periods ended September 30, 2019 and 2018, respectively.

A reconciliation of net income per share is as follows (in thousands, except per share data):

	Three-Month Periods Ended September 30,				Nine-Month Periods Ended September 30,
	2019		2018		2019		2018

Numerator:
Net income	$	6,130	$	851	$	7,085	$	1,345
Denominator:
Weighted average common shares outstanding		5,252		5,212		5,240		5,200
Dilutive potential common shares		18		32		19		6
Shares used in diluted net income per common share calculations		5,270		5,244		5,259		5,206
Basic net income per common share	$	1.17	$	0.16	$	1.35	$	0.26
Diluted net income per common share	$	1.16	$	0.16	$	1.35	$	0.26