NOTE 2 — EARNINGS PER SHARE ("EPS")

The Company presents the computation of earnings per share on a basic and diluted basis. Basic EPS is computed by dividing net income by the weighted average number of shares outstanding during the reported period. Diluted EPS reflects the potential dilution related to equity-based incentives (further discussed in Note 6 – Stock-Based Compensation) using the treasury stock method. The composition of basic and diluted EPS is as follows:



	Three months ended October 31,				Nine months ended October 31,
	2017		2016		2017		2016
(in thousands, except per share data)
Net income	$	37,268	$	36,506	$	115,381	$	116,273

Weighted average common shares - basic	38,186		35,218		37,877		35,184
Effect of dilutive securities:
Equity based awards	247		231		228		209
Weighted average common shares - diluted	38,433		35,449		38,105		35,393

Earnings per share:
Basic	$	0.98	$	1.04	$	3.05	$	3.30
Diluted	$	0.97	$	1.03	$	3.03	$	3.29

For the three months ended October 31, 2017 and 2016, there were 15,739 and 844 shares, respectively, excluded from the computation of diluted earnings per share because their effect would have been antidilutive. For the nine months ended October 31, 2017 and 2016, there were 30,578 and 1,454 shares, respectively, excluded from the computation of diluted earnings per share because their effect would have been antidilutive.