Earnings Per Share

3 Months Ended

Mar. 31, 2022

The Company reports basic and diluted earnings per share. Basic earnings per share is computed by dividing net income attributable to shareholders of the Company by the weighted average number of common shares outstanding during the reported period. Diluted earnings per share reflect the potential dilution related to equity-based incentives using the treasury stock method. The calculation and reconciliation of basic and diluted earnings per share for the three months ended March 31 is as follows (in thousands, except per share data):


	Three Months Ended March 31,
	2022		2021
Net income	$	217,952	$	184,239
Denominator for basic earnings per share	77,737		83,475
Dilutive securities	1,549		2,289
Denominator for diluted earnings per share	79,286		85,764
Basic earnings per share	$	2.80	$	2.21
Diluted earnings per share	$	2.75	$	2.15

Diluted earnings per share for the three months ended March 31, 2022 and 2021 excludes the effect of 2.1 million and 0.1 million, respectively, of common stock that may be issued upon the exercise of employee stock options because such effect would be anti-dilutive. Diluted earnings per share also excludes the effect of an immaterial amount and 0.2 million shares of performance-based restricted stock for which the performance criteria have not yet been achieved for the three month periods ended March 31, 2022 and 2021, respectively.