BASIC AND DILUTED NET INCOME PER COMMON SHARE

6 Months Ended

Jun. 30, 2017

BASIC AND DILUTED NET INCOME PER COMMON SHARE



6.	BASIC AND DILUTED NET INCOME PER COMMON SHARE

The following table provides a reconciliation of the numerators and denominators used in computing basic and diluted net income per common share (in thousands, except per share data):



	Three Months Ended June 30,				Six Months Ended June 30,
	2016		2017		2016		2017
Computation of basic net income per common share:
Net income	$	38,121	$	44,919	$	69,496	$	90,362
Weighted average common shares and participating securities outstanding – basic	54,458		55,865		54,205		55,589
Basic net income per common share	$	0.70	$	0.80	$	1.28	$	1.63
Computation of diluted net income per common share:
Weighted average common shares outstanding – basic	54,458		55,865		54,205		55,589
Effect of dilutive securities:
Stock-based awards	624		1,164		775		1,430
Weighted average common shares outstanding – diluted	55,082		57,029		54,980		57,019
Diluted net income per common share	$	0.69	$	0.79	$	1.26	$	1.58

Diluted net income per common share reflects the potential dilution of common stock equivalents such as options, to the extent the impact is dilutive. An aggregate of 2,002,992 shares were excluded from the calculation of the denominator for diluted net income per common share due to their anti-dilutive effect for the three months ended June 30, 2016. There were no shares with an anti-dilutive effect for the three months ended June 30, 2017. An aggregate of 1,877,467 and 84,276 shares were excluded from the calculation of the denominator for diluted net income per common share due to their anti-dilutive effect for the six months ended June 30, 2016 and 2017, respectively.

NEUSTAR INC 10-Q