EARNINGS PER SHARE

The following table sets forth the computation of basic and diluted earnings per share:



	Three Months Ended September 30,					Six Months Ended September 30,
(in thousands, except share and per share data)	2017		2016			2017		2016

Basic Earnings Per Share
Numerator for basic earnings per share
Net income attributable to Universal Corporation	$	26,167	$	25,264		$	29,744	$	19,788
Less: Dividends on convertible perpetual preferred stock	—		(3,687		)	—		(7,374		)
Earnings available to Universal Corporation common shareholders for calculation of basic earnings per share	26,167		21,577			29,744		12,414

Denominator for basic earnings per share
Weighted average shares outstanding	25,334,661		22,777,394			25,370,783		22,755,927

Basic earnings per share	$	1.03	$	0.95		$	1.17	$	0.55

Diluted Earnings Per Share
Numerator for diluted earnings per share
Earnings available to Universal Corporation common shareholders	$	26,167	$	21,577		$	29,744	$	12,414
Add: Dividends on convertible perpetual preferred stock (if conversion assumed)	—		3,687			—		—
Earnings available to Universal Corporation common shareholders for calculation of diluted earnings per share	26,167		25,264			29,744		12,414

Denominator for diluted earnings per share:
Weighted average shares outstanding	25,334,661		22,777,394			25,370,783		22,755,927
Effect of dilutive securities (if conversion or exercise assumed)
Convertible perpetual preferred stock	—		4,883,372			—		—
Employee share-based awards	211,885		307,390			218,375		317,414
Denominator for diluted earnings per share	25,546,546		27,968,156			25,589,158		23,073,341

Diluted earnings per share	$	1.02	$	0.90		$	1.16	$	0.54

As discussed Note 3, all outstanding shares of the Company's convertible perpetual preferred stock were converted for common stock or cash in the third and fourth quarters of fiscal year 2017, and therefore none were outstanding for the three- and six-month periods ended September 30, 2017.

The Company had the following potentially dilutive securities (stock appreciation rights) outstanding for the six months ended September 30, 2016 that were not included in the computation of diluted earnings per share because their exercise price exceeded the market price of the Company's common stock, and thus their effect would have been antidilutive:



	Six Months Ended September 30,
	2016
Potentially dilutive securities	127,400
Weighted-average exercise price	$	62.66

At September 30, 2017, all previously-granted stock appreciation rights had been exercised or had expired, and none were outstanding.