12.	Earnings Per Share

Basic earnings per share is calculated by dividing net income

attributable to the common shareholders of the Company by the weighted average number of common shares outstanding during the period, exclusive of restricted shares. Except where the result would be anti-dilutive, diluted earnings per share is calculated by assuming the vesting of unvested restricted stock and the exercise of stock options. The following table reconciles the numerator and the denominator used to calculate basic and diluted earnings per share:

	Year Ended December 31,
	201 7		201 6			201 5
Numerato r
Net income attributable to Generac Holdings Inc .	$	159,386	$	98,788		$	77,747
Redeemable noncontrolling interest redemption value adjustmen t		909		(909	)		-
Net income attributable to common shareholder s	$	160,295	$	97,879		$	77,747

Denominato r
Weighted average shares, basi c		62,040,704		64,905,793			68,096,051
Dilutive effect of stock compensation awards (1 )		602,168		476,981			1,104,246
Diluted share s		62,642,872		65,382,774			69,200,297

Net income attributable to common shareholders per shar e
Basi c	$	2.58	$	1.51		$	1.14
Dilute d	$	2.56	$	1.50		$	1.12

(

)

Excludes

approximately

147,400,

15,800

and

161,400

stock options for the years ended

December 31, 2017,

2016

and

2015,

respectively, as the impact of such awards was anti-dilutive. Excludes approximately

1,000

shares of restricted stock for the year ended

December 31, 2015,

as the impact of such awards was anti-dilutive.