Net Income Per Share

3 Months Ended

Apr. 01, 2023

CRA calculates basic earnings per share using the two-class method. CRA calculates diluted earnings per share using the more dilutive of either the two-class method or treasury stock method. The two-class method was more dilutive for the fiscal quarters ended April 1, 2023 and April 2, 2022.

Under the two-class method, net earnings are allocated to each class of common stock and participating security as if all the net earnings for the period had been distributed. CRA's participating securities consist of unvested share-based payment

awards that contain a nonforfeitable right to receive dividends and therefore are considered to participate in undistributed earnings with common shareholders. Net earnings allocable to these participating securities were not material for the fiscal quarters ended April 1, 2023 and April 2, 2022.

The following table presents the calculation of basic and diluted net income per share (in thousands, except per share data):


	Fiscal Quarter Ended
	April 1, 2023		April 2, 2022
Numerator:
Net income — basic	$	8,918	$	11,426
Less: net income attributable to participating shares	34		48
Net income — diluted	$	8,884	$	11,378
Denominator:
Weighted average shares outstanding — basic	7,119		7,360
Effect of dilutive stock options and restricted stock units	133		143
Weighted average shares outstanding — diluted	7,252		7,503
Net income per share:
Basic	$	1.25	$	1.55
Diluted	$	1.23	$	1.52

For the fiscal quarter ended April 1, 2023, the anti-dilutive share-based awards that were excluded from the calculation of common stock equivalents for purposes of computing diluted weighted average shares outstanding amounted to 196 shares. There were no anti-dilutive share-based awards for the fiscal quarter ended April 2, 2022.