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Net Income per Share
9 Months Ended
Sep. 30, 2025
Earnings Per Share Reconciliation [Abstract]  
Net Income per Share Net Income per Share
Basic net income per share is computed using the weighted average number of common shares outstanding during the applicable period. Diluted net income per share is computed using the weighted average number of common shares outstanding during the period, plus the dilutive effect of potential common stock. Potential common stock consists of shares issuable pursuant to stock awards, convertible senior notes and warrants issued by the Company. The dilutive effect of outstanding stock awards is reflected in diluted earnings per share by application of the treasury stock method and the dilutive effect of the convertible securities is reflected in diluted earnings per share by application of the if-converted method.
The components used in the computation of basic and diluted net income per share for the three and nine months ended September 30, 2025 and 2024 were as follows (in thousands, except per share data):
 
 For the Three Months
Ended September 30,
For the Nine Months
Ended September 30,
 2025202420252024
Numerator:
Net income$140,170 $57,907 $366,959 $365,013 
Denominator:
Shares used for basic net income per share143,577 151,435 145,795 151,776 
Effect of dilutive securities:
Stock awards1,234 1,511 1,246 2,120 
Convertible senior notes— 294 — 869 
Warrants related to issuance of convertible senior notes— — — — 
Shares used for diluted net income per share144,811 153,240 147,041 154,765 
Basic net income per share$0.98 $0.38 $2.52 $2.40 
Diluted net income per share$0.97 $0.38 $2.50 $2.36 

For the three and nine months ended September 30, 2025 and 2024, certain potential outstanding shares from service-based stock awards and warrants were excluded from the computation of diluted net income per share because the effect of including these items was anti-dilutive. Additionally, certain market- and performance-based stock awards were excluded from the computation of diluted net income per share because the underlying market and performance conditions for such stock awards had not been met as of these dates. The number of potentially outstanding shares excluded from the computation of diluted net income per share for the three and nine months ended September 30, 2025 and 2024 were as follows (in thousands):

For the Three Months
Ended September 30,
For the Nine Months
Ended September 30,
2025202420252024
Service-based stock awards2,396 974 4,176 2,802 
Market- and performance-based stock awards1,583 1,311 1,583 1,318 
Warrants related to issuance of convertible senior notes42,087 32,006 41,548 32,006 
Total shares excluded from computation46,066 34,291 47,307 36,126