Earnings Per Share

9 Months Ended

Sep. 30, 2022

NOTE 10. Earnings Per Share

Basic earnings per share is calculated by dividing Net (loss) income by the weighted-average number of shares of the Company's common stock outstanding. Diluted earnings per share is similarly calculated, except that the calculation includes the dilutive effect of the assumed issuance of shares under stock-based compensation plans, unless the inclusion of such shares would have an anti-dilutive effect. The computation of Earnings per share is as follows (in thousands, except per share data):


	Three Months Ended September 30,					Nine Months Ended September 30,
	2022			2021		2022		2021
Net (loss) income	$	(2,941	)	$	2,431	$	6,944	$	13,675
Basic weighted-average common shares outstanding		67,680			69,067		68,775		68,576
Effect of dilutive stock-based compensation awards (1)		—			1,878		1,248		2,489
Diluted weighted-average common shares outstanding		67,680			70,945		70,023		71,065
(Loss) earnings per share, basic	$	(0.04	)	$	0.04	$	0.10	$	0.20
(Loss) earnings per share, diluted		(0.04	)		0.03		0.10		0.19

There were 3,581 and 1,369 potential common shares excluded from diluted weighted-average common shares outstanding for the three months ended September 30, 2022 and September 30, 2021, respectively, and 2,027 and 1,376 potential common shares excluded from diluted weighted-average common shares outstanding for the nine months ended September 30, 2022 and September 30, 2021, respectively, as their inclusion would have had an anti-dilutive effect.