Net Income Per Share

We compute basic and diluted net income per share by dividing our net income by the weighted-average number of common shares outstanding during the period. We used the treasury stock method to determine the number of dilutive shares of common stock resulting from the potential exercise of stock options. The statements of comprehensive income show the computation of net income per share for each period, including the number of weighted-average shares outstanding.

The following table shows the computation of net income per share for each period:



	Three Months Ended March 31,
	2019		2018
	(in thousands)
Numerator:
Net income	$	18,274	$	17,459
Denominator:
Weighted-average shares used to compute basic net income per share	114,844		114,882
Dilutive effect of employee stock options	9,051		12,851
Weighted-average shares used to compute diluted net income per share	123,895		127,733
Net income per share
Basic	$	0.16	$	0.15
Diluted	$	0.15	$	0.14

As of March 31, 2019 and 2018, we had 24.4 million and 23.1 million stock options outstanding, respectively.

On a weighted-average basis, 8.5 million and 2.6 million stock options outstanding during the three months ended March 31, 2019 and 2018, respectively, were excluded from the computation of diluted net income per share because including them would have reduced dilution.