EARNINGS PER SHARE

The following table sets forth the computation of the basic and diluted earnings per share for the three months ended March 31, 2017 and 2018 (in thousands, except per share data):



	Three Months Ended March 31,
	2017			2018
Numerator for basic and diluted earnings per share:
Net income	$	7,084		$	9,356
Less: Earnings allocated to unvested restricted stock	(27		)	(60		)
Income attributable to common stockholders	$	7,057		$	9,296

Denominator:
Denominator for basic earnings per common share - weighted average shares outstanding	16,597			16,094
Effect of dilutive securities:
Stock options	395			376
Convertible subordinated notes	1,090			1,230
Denominator for diluted earnings per common share - weighted average shares outstanding	18,082			17,700

Basic earnings per common share:	$	0.42		$	0.58
Diluted earnings per common share:	$	0.39		$	0.52

The fully diluted weighted average shares outstanding for the three months ended March 31, 2018 and the corresponding calculation of fully diluted earnings per share, include approximately 1,230,000 shares that would have been issued upon the conversion of our convertible subordinated notes as a result of the application of the if-converted method prescribed by the FASB ASC 260, Earnings Per Share. There were approximately 1,090,000 shares for the three months ended March 31, 2017 that would have been issued upon conversion under the if-converted method.

For the three months ended March 31, 2018 and 2017, no stock options were excluded from the computation of diluted earnings per share because the inclusion of such stock options would result in an antidilutive effect.