Earnings Per Share

9 Months Ended

Sep. 30, 2017

7. ASC 260 Earnings Per Share (“EPS”) requires dual presentation of basic EPS and diluted EPS on the face of the condensed consolidated statements of operations. Basic EPS is computed as net income divided by the weighted average number of shares of common stock outstanding during the period. Diluted EPS reflects potential dilution that could occur if securities or other contracts, which, for the Company, consists of options to purchase shares of the Company’s common stock, are exercised.

The components of basic and diluted earnings per share were as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2017		2016		2017		2016
Numerator:
Net income attributable to AVD	$	4,089	$	2,877	$	11,845	$	8,917
Denominator: (in thousands)
Weighted average shares outstanding-basic		29,193		28,957		29,064		28,886
Dilutive effect of stock options and grants		590		539		584		499
		29,783		29,496		29,648		29,385

For the three and nine months ended September 30, 2017 and 2016, no stock options were excluded from the computation of diluted earnings per share.