NOTE 2 – Earnings per Share

Earnings per share (“EPS”) is calculated by dividing net income attributable to common stockholders by the weighted-average number of shares of Common Stock outstanding during the period. Diluted EPS is calculated similarly but includes potential dilution from the exercise of stock options and stock awards, except when the effect would be anti-dilutive. A total of 0.7 million and 1.7 million stock options and stock awards outstanding during the three months ended September 30, 2017 and 2016, respectively, and 0.7 million and 1.9 million stock options and stock awards outstanding during the nine months ended September 30, 2017 and 2016, respectively, were excluded from the calculation because the effect was anti-dilutive.

The table below sets forth the reconciliation between net income (loss) and the weighted average shares outstanding used for calculating basic and diluted EPS for the three and nine months ended September 30, 2017 and 2016:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2017		2016		2017		2016
Earnings (numerator)
Net income attributable to common stockholders	$	14,450	$	10,648	$	28,846	$	14,667

Shares (denominator)
Weighted average common shares outstanding (basic)		49,057		48,814		48,633		48,496
Dilutive effect of stock options and stock awards outstanding		1,359		1,108		1,428		1,069
Adjusted weighted average common shares outstanding (diluted)		50,416		49,922		50,061		49,565

Earnings per share attributable to common stockholders
Basic	$	0.29	$	0.22	$	0.59	$	0.30
Diluted	$	0.29	$	0.21	$	0.58	$	0.30