Basic and Diluted Net Income Per Share

9 Months Ended

Sep. 30, 2015

Earnings Per Share, Basic and Diluted [Abstract]

4.	Basic and Diluted Net Income Per Share

Basic net income per share is computed by dividing net income by the weighted average number of common shares outstanding during the period. Diluted net income per share is computed by dividing net income by the weighted average number of common and dilutive common equivalent shares outstanding during the period. The number of dilutive common equivalent shares outstanding during the period is determined in accordance with the treasury-stock method. Common equivalent shares consist of common stock issuable upon the exercise of outstanding options and common stock issuable upon the vesting of outstanding, unvested SUAs.

Basic and diluted weighted average common shares outstanding are as follows:

	Three Months Ended				Nine Months Ended
	September 30,		September 30,		September 30,		September 30,
	2015		2014		2015		2014
	(in thousands)
Weighted average common shares outstanding, basic		5,423		5,375		5,399		5,349
Dilutive common equivalent shares		2		14		7		26
Weighted average common shares outstanding, diluted		5,425		5,389		5,406		5,375

For the three months ended September 30, 2015 and 2014, options to purchase 89 thousand and 182 thousand common shares, respectively, were outstanding but not included in the diluted weighted average common share calculation as the effect would have been antidilutive. For the nine month period ended September 30, 2015 options to purchase 73 thousand common shares were outstanding but not included in the diluted weighted average common share calculation as the effect would have been antidilutive. There were no antidilutive shares for the nine month period ended September 30, 2014.