EARNINGS PER SHARE

9 Months Ended

Sep. 30, 2023

Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding during the period. Diluted earnings per share is calculated based on the combined weighted average number of common shares and potentially dilutive shares, which include the assumed exercise of employee stock options, unvested restricted stock awards, unvested restricted stock units and unvested performance stock units, including market-based performance units based on the expected achievement of performance targets. In computing diluted earnings per share, we utilize the treasury stock method.

A summary of the numerator and denominators used in the computation of earnings per share follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
Numerator:
Net income	$	18,172	$	22,672	$	27,210	$	44,658
Denominators:
Number of shares outstanding, end of period:
Class A common stock	56,994		50,692		56,994		50,692
Class B common stock	988		988		988		988

Unvested restricted stock	—		(1)		—		(1)
Effect of weighted average shares outstanding (1)	(20)		(2)		(3,754)		(75)
Basic weighted average common shares outstanding	57,962		51,677		54,228		51,604
Impact of potentially dilutive securities:
Dilutive effect of stock options and other stock awards	100		129		97		145
Diluted weighted average common shares outstanding	58,062		51,806		54,325		51,749
Anti-dilutive potentially issuable shares	78		84		75		115

(1)The adjustment in the nine months ended September 30, 2023 is primarily associated with the 6,053 shares of Class A common stock issued as part of the public offering, completed on June 16, 2023. See Note 9, Stockholders’ Equity for disclosure regarding the public offering of Class A common stock.