The following table reflects the calculation of basic and diluted earnings per share (in thousands, except per share amounts):

 

		Year Ended June 30,
		2018				2017				2016
Earnings per share – basic:
Net income		$	126,150			$	76,086			$	104,476
Income allocated to participating securities			(108	)			(65	)			(52	)
Income available to common shareholders		$	126,042			$	76,021			$	104,424
Weighted-average shares outstanding – basic			37,476				37,313				37,194
Earnings per share – basic		$	3.36			$	2.04			$	2.81
Earnings per share – diluted:
Net income		$	126,150			$	76,086			$	104,476
Income allocated to participating securities			(108	)			(65	)			(52	)
Income available to common shareholders		$	126,042			$	76,021			$	104,424
Weighted-average shares outstanding – basic			37,476				37,313				37,194
Dilutive effect of stock options and restricted stock units			579				187				132
Weighted-average common shares outstanding – diluted			38,055				37,500				37,326
Earnings per share – diluted		$	3.31			$	2.03			$	2.80

 

Basic net income per common share is calculated based on the weighted average number of common shares outstanding during the period. Diluted net income per common share is computed by dividing net income by the weighted average number of common and potentially dilutive common shares outstanding during the period. Potentially dilutive common shares of our stock result from dilutive common stock options and restricted stock units. We use the treasury stock method to calculate the weighted-average shares used in the diluted earnings per share computation. Under the treasury stock method, the proceeds from exercise of an option, the amount of compensation cost, if any, for future service that we have yet recognized, and the amount of estimated tax benefits that would be recorded in paid-in capital, if any, when the option is exercised are assumed to be used to repurchase shares in the current period.

 

The dilutive effect of stock options in the above table excludes all options for which the aggregate exercise proceeds exceeded the average market price for the period. The number of potentially dilutive option shares excluded from the calculation was million, million, and million for the fiscal years ended and respectively.