Earnings Per Share

3 Months Ended

Mar. 31, 2021

COMMON STOCK AND EARNINGS PER SHARE

Earnings per Share

The calculation of basic and diluted earnings per common share are as follows (in thousands, except per share amounts):


	Three Months Ending March 31,
	2021		2020
Numerator:
Earnings from continuing operations - basic	$	42,290	$	133,733
Gain from stock warrants revaluation, net of tax	(5,355)		(76,361)
Earnings from continuing operations - diluted	$	36,935	$	57,372

Denominator:
Weighted-average shares outstanding for basic earnings per share	59,447		59,040
Common equivalent shares:
Effect of stock-based compensation awards and warrants	15,297		8,907
Weighted-average shares outstanding assuming dilution	74,744		67,947
Basic earnings per share from continuing operations	$	0.71	$	2.27
Diluted earnings per share from continuing operations	$	0.49	$	0.84

Basic weighted average shares outstanding for purposes of basic earnings per share are less than the shares outstanding due to 487,200 shares and 365,100 shares of restricted stock for 2021 and 2020, respectively, which are accounted for as part of diluted weighted average shares outstanding in diluted earnings per share.

The determination of diluted earnings per share requires the exclusion of the fair value re-measurement of the stock warrants recorded as a liability (see Note D), if such warrants have an anti-dilutive effect on earnings per share. The dilutive effect of the weighted-average diluted shares outstanding is calculated using the treasury method for periods in which equivalent shares have a dilutive effect on earnings per share. Under this method, the number of diluted shares is determined by dividing the assumed proceeds of the warrants recorded as a liability by the average stock price during the period and comparing that amount with the number of corresponding warrants outstanding.