Earnings Per Share

9 Months Ended

Sep. 30, 2015

EARNINGS PER SHARE

Basic earnings per common share is computed by dividing the net income from continuing operations attributable to The GEO Group, Inc. shareholders by the weighted average number of outstanding shares of common stock. The calculation of diluted earnings per share is similar to that of basic earnings per share except that the denominator includes dilutive common stock equivalents such as stock options and shares of restricted stock. Basic and diluted earnings per share were calculated for the three and nine months ended September 30, 2015 and September 30, 2014 as follows (in thousands, except per share data):



	Three Months Ended				Nine Months Ended
	September 30, 2015		September 30, 2014		September 30, 2015		September 30, 2014
Net income	$	38,291	$	38,965	$	95,295	$	105,859
Net income loss attributable to noncontrolling interests	21		26		79		20
Net income attributable to The GEO Group, Inc.	38,312		38,991		95,374		105,879
Basic earnings per share attributable to The GEO Group, Inc.:
Weighted average shares outstanding	73,757		72,380		73,658		71,862
Per share amount	$	0.52	$	0.54	$	1.29	$	1.47
Diluted earnings per share attributable to The GEO Group, Inc.:
Weighted average shares outstanding	73,757		72,380		73,658		71,862
Dilutive effect of equity incentive plans	162		257		248		268
Weighted average shares assuming dilution	73,919		72,637		73,906		72,130
Per share amount	$	0.52	$	0.54	$	1.29	$	1.47

Three Months

For the three months ended September 30, 2015, 403,695 weighted average shares of common stock underlying options were excluded from the computation of diluted earnings per share ("EPS") because the effect would be anti-dilutive. There were 258,688 common stock equivalents from restricted shares that were anti-dilutive.

For the three months ended September 30, 2014, no shares of common stock underling options or restricted stock were anti-dilutive.

Nine Months

For the nine months ended September 30, 2015, 192,079 weighted average shares of common stock underlying options were excluded from the computation of diluted EPS because the effect would be anti-dilutive. There were 201,102 common stock equivalents from restricted shares that were anti-dilutive.

For the nine months ended September 30, 2014, 165,965 weighted average shares of common stock underlying options were excluded from the computation of diluted EPS because the effect would be anti-dilutive. There were 288 common stock equivalents from restricted shares that were anti-dilutive.