Earnings Per Share

3 Months Ended

Mar. 31, 2020

The computation of basic and diluted earnings per common share is as follows:



	Three Months Ended
	March 31,
(in thousands, except per share amounts)	2020			2019
Computation of Basic Earnings Per Share:
Numerator:
Net income	$	55,463		$	30,081
Income allocated to participating securities	(317		)	(179		)
Net income available to common shareholders	$	55,146		$	29,902
Denominator:
Weighted average common shares outstanding – basic	55,343			55,347
Basic earnings per share	$	1.00		$	0.54

Computation of Diluted Earnings Per Share:
Numerator:
Net income	$	55,463		$	30,081
Income allocated to participating securities	(316		)	(179		)
Net income available to common shareholders	$	55,147		$	29,902
Denominator:
Weighted average common shares outstanding – basic	55,343			55,347
Diluted effect of stock options and PVRSUs	334			310
Weighted average common shares outstanding – diluted	55,677			55,657
Diluted earnings per share	$	0.99		$	0.54

The Company's unvested restricted shares contain rights to receive nonforfeitable dividends, and thus are participating securities requiring the two-class method of computing earnings per share ("EPS"). The calculation of EPS for common stock shown above excludes the income attributable to the unvested restricted share awards from the numerator and excludes the dilutive impact of those awards from the denominator.

At March 31, 2020 and 2019, the Company had 1.0 million and 1.1 million outstanding stock options, respectively. Stock options are included in the diluted EPS calculation using the treasury stock method and average market prices during the period, unless the stock options would be anti-dilutive.

For the three months ended March 31, 2020, no anti-dilutive stock options were excluded from the diluted EPS calculation. For the three months ended March 31, 2019, 0.2 million anti-dilutive stock options were excluded from the diluted EPS calculation.

PVRSUs are also included in the diluted EPS calculation when the performance conditions have been met at the reporting date. However, at March 31, 2020 and 2019, PVRSUs totaling 253,459 and 324,140, respectively, were excluded from the computation since the performance conditions had not been met.