Earnings Per Share

12 Months Ended

Dec. 31, 2022

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:


	2022		2021		2020
Net income	$	954,327	$	839,497	$	704,216
Denominator for basic earnings per share	75,598		82,060		84,005
Dilutive securities	1,264		2,001		2,714
Denominator for diluted earnings per share	76,862		84,061		86,719
Basic earnings per share	$	12.62	$	10.23	$	8.38
Diluted earnings per share	$	12.42	$	9.99	$	8.12

Diluted earnings per share for the years ended December 31, 2022, 2021 and 2020 excludes the effect of 2.3 million, 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. Diluted earnings per share also excludes the effect of performance-based restricted stock for which the performance criteria have not yet been achieved, which was immaterial for 2022 and 2021 and 0.1 million shares for the year ended December 31, 2020.