Earnings Per Share

12 Months Ended

Dec. 31, 2021

The Company reports basic and diluted earnings per share. Basic earnings per share is computed by dividing net income attributable to shareholders of the Company by the weighted average number of common shares outstanding during the reported period. Diluted earnings per share reflect the potential dilution related to equity-based incentives using the treasury stock method.

The calculation and reconciliation of basic and diluted earnings per share for the years ended December 31 (in thousands, except per share data) follows:


	2021		2020		2019
Net income	$	839,497	$	704,216	$	895,073
Denominator for basic earnings per share	82,060		84,005		86,401
Dilutive securities	2,001		2,714		3,669
Denominator for diluted earnings per share	84,061		86,719		90,070
Basic earnings per share	$	10.23	$	8.38	$	10.36
Diluted earnings per share	$	9.99	$	8.12	$	9.94

Diluted earnings per share for the years ended December 31, 2021 and 2020 excludes the effect of 1.4 million and 0.1 million shares, respectively, of common stock that may be issued upon the exercise of employee stock options because such effect would be antidilutive. For 2019, the antidilutive effect was immaterial. Diluted earnings per share also excludes the effect of 0.1 million shares of performance based restricted stock for which the performance criteria have not yet been achieved for the years ended December 31, 2020 and 2019, respectively. For 2021, the impact was immaterial.