Weighted Average Common Shares

9 Months Ended

Sep. 30, 2023

13. WEIGHTED AVERAGE COMMON SHARES

Basic net income per share is calculated by dividing net income by the weighted average number of common shares outstanding for the period. Diluted earnings per share is computed by dividing net income by the weighted average number of shares assuming dilution. Dilutive common shares outstanding is computed using the Treasury Stock Method and reflects the additional shares that would be outstanding if dilutive stock options were exercised and restricted stock units were settled for common shares during the period.

The weighted average number of common shares used to compute basic and diluted net income per share for the quarters and years to date ended September 30, 2023 and 2022 were as follows (shares in thousands):


	For the Quarter Ended September 30,				For the Year to Date Ended September 30,
	2023		2022		2023		2022
Basic common shares outstanding		65,634		67,506		66,758		68,193
Common stock equivalents		1,469		1,044		1,314		938
Diluted common shares outstanding		67,103		68,550		68,072		69,131

For the quarters and years to date ended September 30, 2023 and 2022, certain unexercised stock option awards are excluded from our computations of diluted earnings per share, as these shares were out-of-the-money and their effect would have been anti-dilutive. The anti-dilutive options that were excluded from our computations of diluted earnings per share were 0.1 million and 0.3 million shares, respectively, for the quarters ended September 30, 2023 and 2022, and 0.1 million and 0.3 million shares for the years to date ended September 30, 2023 and 2022, respectively.