Computation of Earnings Per Share

3 Months Ended

Mar. 31, 2023

Basic earnings per share (“EPS”) is computed by dividing net income by the weighted average number of shares of Common Stock outstanding during the period. Diluted EPS reflects the potential dilution of securities that could share in earnings. Potential shares of common stock are excluded from the computation of diluted earnings per share when their effect would be anti-dilutive.

The table below sets forth the calculation of basic and diluted income per share for the periods indicated (in thousands, except per share data).


	Three Months Ended
	March 31,
	2023		2022
Numerator:
Net income used for calculating basic and diluted income per share	$	295,783	$	172,515
Denominator:
Weighted average common shares used in the calculation of basic income per share	79,452		82,020
Dilutive effect of outstanding awards associated with stock-based compensation plans (1)	830		953
Shares used in the calculation of diluted income per share	80,282		82,973
Basic income per share	$	3.72	$	2.10
Diluted income per share	$	3.68	$	2.08

(1)Certain outstanding awards associated with stock-based compensation plans were not included in the computation of diluted income per share because the effect would have been anti-dilutive. These anti-dilutive outstanding awards associated with stock-based compensation plans totaled approximately 0.3 million and 0.2 million for the three months ended March 31, 2023 and 2022, respectively.