Net Income per Share

3 Months Ended

Apr. 30, 2017

NET INCOME PER SHARE

Basic net income per share is computed by dividing net income by the weighted average common shares and fully vested stock units outstanding. Diluted net income per share is computed by dividing net income by the weighted average common and common equivalent shares outstanding which includes the shares issuable upon exercise of employee stock options (net of shares assumed purchased with the option proceeds), stock units, and restricted stock units outstanding. Performance share awards are included in the diluted calculation based upon what would be issued if the end of the most recent reporting period was the end of the term of the award. Weighted average common and common equivalent shares outstanding are excluded from the diluted loss per share calculation if their inclusion would have an antidilutive effect.

Certain outstanding options and restricted stock units were excluded from the diluted net income per-share calculations because their effect would have been anti-dilutive under the treasury stock method. The options and restricted stock units excluded from the diluted net income per-share share calculation were as follows:



	Three Months Ended
	April 30, 2017	April 30, 2016
Anti-dilutive options and restricted stock units	470,265	1,005,163

The computation of earnings per share is presented below:



	Three Months Ended
	April 30, 2017		April 30, 2016
Numerator:
Net income attributable to Raven Industries, Inc.	$	12,348	$	5,517

Denominator:
Weighted average common shares outstanding	36,080,143		36,319,918
Weighted average fully vested stock units outstanding	98,787		93,986
Denominator for basic calculation	36,178,930		36,413,904

Weighted average common shares outstanding	36,080,143		36,319,918
Weighted average fully vested stock units outstanding	98,787		93,986
Dilutive impact of stock options and restricted stock units	359,795		52,234
Denominator for diluted calculation	36,538,725		36,466,138

Net income per share - basic	$	0.34	$	0.15
Net income per share - diluted	$	0.34	$	0.15