Note 4. Earnings per share

Basic earnings per share is computed by dividing net earnings available to common stockholders by the weighted-average number of shares of common stock outstanding for the period.

Diluted earnings per share reflects the weighted-average number of shares outstanding after consideration of the dilutive effect of stock options and restricted stock.

The following is a reconciliation of net earnings to basic earnings per share and diluted earnings per share for the three and six-months ended March 31, 2019 and 2018:



	Three-Months Ended				Six-Months Ended
	March 31,				March 31,
	2019		2018		2019		2018
Numerator:
Net earnings	$	77,579	$	38,489	$	126,699	$	56,749
Denominator:
Basic shares outstanding		62,175		61,401		61,995		61,323
Dilutive effect of stock options and restricted stock		2,389		2,349		2,312		2,407
Diluted shares outstanding		64,564		63,750		64,307		63,730
Income per common share:
Basic earnings per share	$	1.25	$	0.63	$	2.04	$	0.93
Diluted earnings per share	$	1.20	$	0.60	$	1.97	$	0.89

The following stock option grants were outstanding during the three and six-months ended March 31, 2019 and 2018, but were excluded from the computation of diluted earnings per share because their inclusion would have been anti-dilutive.



	Three-Months Ended				Six-Months Ended
	March 31,				March 31,
	2019		2018		2019		2018
Options		239		764		1,493		759
Weighted-average option price	$	76.07	$	78.73	$	79.07	$	78.74

The weighted-average shares of common stock outstanding for basic and diluted earnings per share included the weighted-average treasury stock shares held for deferred compensation obligations of the following:



	Three-Months Ended				Six-Months Ended
	March 31,				March 31,
	2019		2018		2019		2018
Weighted-average treasury stock shares held for deferred compensation obligations		208		200		206		195