Note C - Net Earnings Per Share

9 Months Ended

Sep. 30, 2016

NOTE C—NET

EARNINGS

PER SHARE

Basic net earnings per share is computed based on the weighted average number of shares of common stock outstanding during the period. For the same periods, diluted net earnings per share further includes the effect of dilutive stock options, stock appreciation rights and restricted share units outstanding during the period, all in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) No. 260 “Earnings per Share.” The following table sets forth the computation of basic and diluted net earnings per share:

	Three months ended September 30,				Nine months ended September 30,
	2016		2015		2016		2015
	Unaudited
Net income	$	5,334	$	167	$	3,501	$	1,670
Earnings per share:
Basic	$	0.24	$	0.01	$	0.16	$	0.08
Diluted	$	0.23	$	0.01	$	0.15	$	0.07
Weighted average number of shares of common stock outstanding during the period used to compute basic net earnings per share (in thousands)		21,943		21,830		21,798		22,020
Incremental shares attributable to exercise of outstanding options, stock appreciation rights and restricted stock units (assuming proceeds would be used to purchase treasury stock) (in thousands)		1,242		1,038		1,084		1,470
Weighted average number of shares of common stock used to compute diluted net earnings per share (in thousands)		23,185		22,868		22,882		23,490