Net Income Per Share

9 Months Ended

Dec. 31, 2020

Note 4. 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 dilutive common shares outstanding during the period. Diluted shares outstanding are calculated by adding to the weighted average shares outstanding any potential dilutive securities outstanding for the period. Potential dilutive securities include stock options, restricted stock units, performance-based stock awards and shares to be purchased under the Company’s employee stock purchase plan. The Company’s basic and diluted net income per share for the three and nine months ended December 31, 2020 and 2019 were as follows (in thousands, except per share data):

	For the Three Months Ended December 31,				For the Nine Months Ended December 31,
Basic Net Income Per Share		2020		2019		2020		2019
Net income	$	61,868	$	69,217	$	168,669	$	171,211

Weighted average shares – basic		45,201		45,140		45,105		45,225

Net income per share – basic	$	1.37	$	1.53	$	3.74	$	3.79

	For the Three Months Ended December 31,				For the Nine Months Ended December 31,
Diluted Net Income Per Share		2020		2019		2020		2019
Net income	$	61,868		69,217		168,669		171,211

Weighted average shares – basic		45,201		45,140		45,105		45,225
Effect of dilutive securities		505		555		548		710
Weighted average shares – diluted		45,706		45,695		45,653		45,935

Net income per share – diluted	$	1.35	$	1.51	$	3.69	$	3.73

Share-based compensation awards of approximately 0.2 million and 0.3 million shares for the three months ended December 31, 2020 and 2019, respectively, and approximately 0.3 million and 0.2 million for the nine months ended December 31, 2020 and 2019, respectively, were outstanding but were not included in the computation of diluted net income per share because the effect of including such shares would have been anti-dilutive or are contingently issuable upon meeting performance criteria in the periods presented.