Computation of Earnings Per Common Share (Tables)

6 Months Ended

Jul. 27, 2019

Schedule of Earnings Per Share Reconciliation

The following table sets forth the computation of basic and diluted earnings per common share (dollars in thousands, except per share amounts):



	For the Three Months Ended				For the Six Months Ended
	July 27, 2019		July 28, 2018		July 27, 2019		July 28, 2018
Net income available to common stockholders (numerator)	$	29,896	$	29,900	$	44,175	$	47,131

Weighted-average number of common shares (denominator)	31,487,011		31,206,340		31,469,401		31,198,349

Basic earnings per common share	$	0.95	$	0.96	$	1.40	$	1.51

Weighted-average number of common shares	31,487,011		31,206,340		31,469,401		31,198,349
Potential shares of common stock arising from stock options, and unvested restricted share units	333,285		627,477		333,967		615,014
Potential shares of common stock issuable on conversion of 0.75% convertible senior notes due 2021⁽¹⁾	—		120,196		—		367,597
Total shares-diluted (denominator)	31,820,296		31,954,013		31,803,368		32,180,960

Diluted earnings per common share	$	0.94	$	0.94	$	1.39	$	1.46

Anti-dilutive weighted shares excluded from the calculation of earnings per common share:
Stock-based awards	276,284		50,366		296,230		54,554
0.75% convertible senior notes due 2021⁽¹⁾	5,005,734		4,885,538		5,005,734		4,638,137
Warrants⁽¹⁾	5,005,734		5,005,734		5,005,734		5,005,734
Total	10,287,752		9,941,638		10,307,698		9,698,425

⁽¹⁾Under the treasury stock method, the convertible senior notes will have a dilutive impact on earnings per common share if the Company’s average stock price for the period exceeds the $96.89 per share conversion price for the convertible senior notes. During the first and second quarters of fiscal 2020, the Company’s average stock price did not exceed the $96.89 per share conversion price for the convertible senior notes; therefore, there was no dilutive impact on earnings per common share for the three and six months ended July 27, 2019. During the first and second quarters of fiscal 2019, the Company’s average stock price of $110.46 and $99.27, respectively, each exceeded the conversion price for the convertible senior notes. As a result, shares presumed to be issuable under the convertible senior notes that were dilutive during the period are included in the calculation of diluted earnings per share for the three and six months ended July 28, 2018. The warrants associated with the Company’s convertible senior notes will have a dilutive impact on earnings per common share if the Company’s average stock price for the period exceeds the $130.43 per share warrant strike price. As the Company’s average stock price did not exceed the strike price for the warrants for any of the periods presented, the underlying common shares were anti-dilutive as reflected in the table above.