Earnings Per Share

3 Months Ended

Mar. 31, 2017

EARNINGS PER SHARE

Basic earnings per common share is computed by dividing the net income from continuing operations attributable to The GEO Group, Inc. 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 months ended March 31, 2017 and 2016 as follows (in thousands, except per share data):



	Three Months Ended
	March 31, 2017		March 31, 2016
Net income	$	40,366	$	32,326
Net loss attributable to noncontrolling interests	37		24
Net income attributable to The GEO Group, Inc.	40,403		32,350
Basic earnings per share attributable to The GEO Group, Inc.:
Weighted average shares outstanding	113,599		110,813
Per share amount	$	0.36	$	0.29
Diluted earnings per share attributable to The GEO Group, Inc.:
Weighted average shares outstanding	113,599		110,813
Dilutive effect of equity incentive plans	879		487
Weighted average shares assuming dilution	114,478		111,300
Per share amount	$	0.35	$	0.29

Outstanding share and per-share amounts disclosed for all periods presented have been retroactively adjusted to reflect the effects of the stock split.

Three Months

For the three months ended March 31, 2017, 449,396 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 214,752 common stock equivalents from restricted shares that were anti-dilutive.

For the three months ended March 31, 2016, 679,656 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 504,569 common stock equivalents from restricted shares that were anti-dilutive.