Quarterly report pursuant to Section 13 or 15(d)

Earning Per Share

 v2.3.0.11
Earning Per Share
 6 Months Ended
Jun. 30, 2011
Earning Per Share  
Earning Per Share

NOTE 7—EARNINGS PER SHARE

HSNi computes basic earnings per share using the weighted average number of common shares outstanding for the period. HSNi computes diluted earnings per share using the treasury stock method which includes the weighted average number of common shares outstanding for the period plus the potential dilution that could occur if various equity awards to issue common stock were exercised or restricted equity awards were vested resulting in the issuance of common stock that could share in HSNi's earnings.

The following table presents HSNi's basic and diluted earnings per share (in thousands, except per share data):

 

     Three Months Ended
June 30, 		     Six Months Ended
June 30, 		 
     2011      2010      2011      2010  

Net income

    $ 31,967       $ 24,706       $ 52,247       $ 42,359   
                                   

Weighted average number of shares outstanding:

            

Basic

      58,648         57,420         58,432         57,112   

Dilutive effect of stock-based compensation awards

      2,131         2,010         2,128         2,127   
                                   

Diluted

      60,779         59,430         60,560         59,239   
                                   

Net income per share:

            

Basic

    $ 0.55       $ 0.43       $ 0.89       $ 0.74   
                                   

Diluted

    $ 0.53       $ 0.42       $ 0.86       $ 0.72   
                                   

Unexercised employee stock options and stock appreciation rights and unvested restricted stock units excluded from the diluted EPS calculation because their effect would have been antidilutive

      1,209         1,570         1,305         1,964