The following table presents the calculation of basic and diluted net income per share (in thousands, except per share information):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
Net income	$	7,374	$	7,306	$	15,437	$	16,738
Basic:
Weighted-average shares of common stock outstanding		33,498		32,118		33,292		31,470
Shares used in computing basic net income per share		33,498		32,118		33,292		31,470
Effect of dilutive securities:
Stock options		-		8		1		78
Restricted stock subject to vesting		368		528		409		571
Contingently issuable shares (1)		-		14		-		17
Shares issuable for acquisition consideration (2)		321		661		461		940
Shares used in computing diluted net income per share		34,187		33,329		34,163		33,076

Basic net income per share	$	0.22	$	0.23	$	0.46	$	0.53
Diluted net income per share	$	0.22	$	0.22	$	0.45	$	0.51

Anti-dilutive options and restricted stock not included in the calculation of diluted net income per share		3		-		37		97

(1)	For the three and nine months ended September 30, 2014, this represents the Company's estimate of shares to be issued to Clear Task, Inc. ("Clear Task") pursuant to the Asset Purchase Agreement.

(2)

For the three and nine months ended September 30, 2015, this represents the shares held in escrow pursuant to: (i) the Agreement and Plan of Merger with ForwardThink Group Inc. ("ForwardThink"); (ii) the Asset Purchase Agreement with BioPharm Systems, Inc. ("BioPharm"); (iii) the Asset Purchase Agreement with Trifecta Technologies, Inc. and Trifecta Technologies Canada, Limited (together "Trifecta"); (iv) the Asset Purchase Agreement with Zeon (as defined below); and (v) the Stock Purchase Agreement for Market Street Solutions, Inc. ("Market Street") as part of the consideration. For the three and nine months ended September 30, 2014, this represents the shares held in escrow pursuant to: (i) the Agreement and Plan of Merger with Northridge Systems, Inc.; (ii) the Agreement and Plan of Merger with TriTek Solutions, Inc.; (iii) the Asset Purchase Agreement with Clear Task; (iv) the Asset Purchase Agreement with CoreMatrix Systems, LLC; (v) the Agreement and Plan of Merger with ForwardThink; (vi) the Asset Purchase Agreement with BioPharm; and (vii) the Asset Purchase Agreement with Trifecta as part of the consideration.