Note 9 — Earnings Per Share

Basic earnings per are share based on the weighted average number of common shares outstanding for the period. Diluted earnings per share are based on the weighted average number of common shares and potentially dilutive common shares outstanding. Potential common shares outstanding principally include stock options, RSUs and warrants, excluding any potentially dilutive shares convertible at a price higher then the closing price of our stock at the end of each reporting period.

The following table shows the computation of basic and diluted earnings per share for the three-months ended March 31, 2020 and 2019 (in thousands):

	Three Months Ended March 31,
	2020		2019
Numerator:
Net income (loss)	$	299,945	$	(5,608	)

Denominator:
Weighted-average basic shares outstanding		70,365		67,596
Effect of dilutive securities		1,019		—
Weighted-average diluted shares		71,384		67,596

Basic earnings per share	$	4.26	$	(0.08	)
Diluted earnings per share	$	4.20	$	(0.08	)

Potentially dilutive securities representing 2,161,955 shares of common stock were excluded from the computation of diluted earnings per share for the three months ended March 31, 2020, because their effect would have been antidilutive. We incurred a net loss for the three months ended March 31, 2019; therefore, all 5,865,014 potentially dilutive securities representing shares of common stock were excluded from the computation of diluted earnings per share for the quarter, because their effect would have been antidilutive.