COMPUTATION OF EARNINGS PER COMMON SHARE

The Company has a share-based compensation plan under which employees, non-employee directors, and consultants may be granted share-based awards, including shares of restricted stock on which non-forfeitable dividends are paid on unvested shares. As such, shares of restricted stock are considered participating securities under the two-class method of calculating earnings per share.

Prior to the second quarter of Fiscal Year 2018, the impact of the two-class method was not considered material and therefore, earnings per share was reported as calculated under the treasury stock method. During periods of net loss, no effect is given to participating securities since they do not share in the losses of the Company.

The following table sets forth the computation of basic and diluted earnings per common share for the years ended March 31, 2018, 2017 and 2016:



(in thousands, except earnings per share data)	Fiscal Year Ended March 31,
	2016		2017		2018
Numerator:
Net income	$	68,392	$	82,599	$	(869	)

Denominator:
Weighted average common shares-basic	34,127		32,279		32,345
Dilutive effect of employee equity incentive plans	811		684		—
Weighted average shares-diluted	34,938		32,963		32,345

Basic earnings per common share	$	2.00	$	2.56	$	(0.03	)
Diluted earnings per common share	$	1.96	$	2.51	$	(0.03	)

Potentially dilutive securities excluded from diluted earnings per share because their effect is anti-dilutive	326		574		543