Earnings Per Share

3 Months Ended

Mar. 31, 2021

The Company computes earnings per share using the treasury stock method. Under the treasury stock method, basic earnings per share are computed by dividing net income available to stockholders by the weighted average number of common shares outstanding during the period, and diluted earnings per share are computed by dividing net income available to stockholders by the weighted average number of common shares outstanding during the period plus all potentially dilutive common stock equivalents, except in cases where the effect of the common stock equivalent would be anti-dilutive.

Net income and the weighted average number of common shares used to compute basic and diluted earnings per share were as follows:


	Three months ended March 31,
(in thousands, except per share data)	2021		2020

Numerator:
Net income	$	19,928	$	9,932

Denominator:
Weighted average common shares outstanding	16,760		16,627
Weighted average dilutive securities	285		115
Weighted average common shares outstanding, diluted	17,045		16,742

Income per common share:
Basic	$	1.19	$	0.60
Diluted	$	1.17	$	0.59

For the three months ended March 31, 2021 and 2020, certain common stock equivalents were excluded from the calculation of dilutive securities because their inclusion would either have been anti-dilutive or, for stock options, the exercise prices of those stock options were greater than the average market price of the Company’s common stock for the period. All of the Company’s unvested time-vested stock awards were included in the computation of weighted average dilutive securities.

The following table summarizes the shares of common stock underlying the Company’s unvested time-vested stock awards and performance awards that were excluded from the calculation of dilutive securities:


	Three months ended March 31,
(in thousands)	2021	2020

Time-vested stock awards	48	—
Performance awards	42	30