Earnings per Share

3 Months Ended

Mar. 31, 2022

Earnings per Share

Net income is divided by the weighted average number of common shares outstanding during the period to calculate basic earnings per share. Diluted earnings per share is calculated to give effect to stock options and RSUs. The following table summarizes the dilutive effect of RSUs and options to purchase common stock for the three months ended March 31, 2022 and 2021:


	Three months ended March 31,
		2022	2021
Weighted average common shares—basic		42,799,206	43,185,007
Dilutive effect of restricted stock units		310,487	400,685
Dilutive effect of stock options		—	49,184
Weighted average common shares—diluted		43,109,693	43,634,876

In March 2020, the Company announced its Board of Directors had authorized the Company to increase the purchase of its common stock up to $250 million in the aggregate. This announcement represented the most recent update from the initial authorization, approved in November 2015, of up to $50 million of purchases in the aggregate of its common stock. In the three months ended March 31, 2022, the Company purchased 282,003 shares of its outstanding common stock for approximately $9.1 million. During the three months ended March 31, 2021, the Company purchased 82,171 shares of its outstanding common stock for approximately $2.6 million. As of March 31, 2022, the Company has approximately $133.6 million remaining under the repurchase authorization.

Holders of common stock are entitled to dividends at the discretion of the Company's Board of Directors. In 2021 the Company's Board of Directors declared the first dividend since the Company's initial public offering in 2007. During the three months ended March 31, 2022, the Company's cash dividends declared were $0.04 per share of common stock and total dividends paid on common shares were $1.7 million. No dividends were paid during the three months ended March 31, 2021.