Earnings Per Share

3 Months Ended

Mar. 31, 2023

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 three months ended March 31, 2023 and 2022 is as follows (in thousands, except per share data):


	Three Months Ended March 31,
	2023		2022
Net income	$	214,835	$	217,952
Denominator for basic earnings per share	73,521		77,737
Dilutive securities	962		1,549
Denominator for diluted earnings per share	74,483		79,286
Basic earnings per share	$	2.92	$	2.80
Diluted earnings per share	$	2.88	$	2.75

Diluted earnings per share for the three months ended March 31, 2023 and 2022 excludes the effect of 2.4 million and 2.1 million shares, respectively, of common stock that may be issued upon the exercise of employee stock options because such effect would be anti-dilutive. Diluted earnings per share also excludes the effect of an immaterial amount of performance-based restricted stock for which the performance criteria have not yet been achieved for the three month periods ended March 31, 2023 and 2022.