Earnings Per Share ("EPS")

6 Months Ended

Mar. 27, 2016

8.Earnings Per Share (“EPS”)

Basic EPS is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding, less unvested restricted stock for the period. Diluted EPS is computed by dividing net income by the weighted-average number of common shares outstanding and dilutive potential common shares for the period. Potential common shares include the weighted-average dilutive effects of outstanding stock options and unvested restricted stock using the treasury stock method.

The following table sets forth the number of weighted-average shares used to compute basic and diluted EPS:

	Three Months Ended				Six Months Ended
	March 27, 2016		March 29, 2015		March 27, 2016		March 29, 2015
	(in thousands, except per share data)

Net income attributable to Tetra Tech	$	3,744	$	19,017	$	26,983	44,592


Weighted-average common shares outstanding — basic	58,451		61,153		58,819		61,816
Effect of dilutive stock options and unvested restricted stock	680		570		708		615

Weighted-average common stock outstanding — diluted	59,131		61,723		59,527		62,431


Earnings per share attributable to Tetra Tech:
Basic	$	0.06	$	0.31	$	0.46	$	0.72

Diluted	$	0.06	$	0.31	$	0.45	$	0.71

For the three and six months ended March 27, 2016, 0.8 million and 0.5 million options were excluded from the calculation of dilutive potential common shares, respectively, compared to 1.3 million for both same periods last year. These options were not included in the computation of dilutive potential common shares because the assumed proceeds per share exceeded the average market price per share during the period. Therefore, their inclusion would have been anti-dilutive.