Earnings Per Share

9 Months Ended

Sep. 30, 2024

9. EARNINGS PER SHARE

Earnings per share is calculated under the two-class method under which all earnings (distributed and undistributed) are allocated to each class of common stock and participating securities based on their respective rights to receive dividends. The Company grants restricted stock to certain employees under its stock-based compensation programs, which entitle recipients to receive nonforfeitable dividends during the vesting period on a basis equivalent to the dividends paid to holders of the Company's common stock, $0.01 par value per share; these unvested awards meet the definition of participating securities.

The following table sets forth the computation of basic and diluted earnings per share:




	For the Three Months Ended September 30,						For the Nine Months Ended September 30,
	2024			2023			2024			2023
Net income	$	1,181,657		$	270,758		$	2,039,337		$	1,841,369
Earnings and dividends allocated to participating securities		(11,290	)		(6,406	)		(29,343	)		(18,667	)
Net income attributable to common stockholders	$	1,170,367		$	264,352		$	2,009,994		$	1,822,702
Weighted average common shares outstanding:
Average number of common shares outstanding - basic		11,101,705			11,048,877			11,087,613			11,041,578
Net effect of dilutive unvested restricted stock awards included for treasury stock method		57,482			41,797			39,403			43,106
Average number of common shares outstanding - diluted		11,159,187			11,090,674			11,127,016			11,084,684
Earnings per common share
Basic	$	0.11		$	0.02		$	0.18		$	0.17
Diluted	$	0.10		$	0.02		$	0.18		$	0.16

Common stock dividends totaled $816,875 ($0.0725 per share) and $808,876 ($0.0725 per share) for the three months ended September 30, 2024 and 2023, respectively, and $2,442,284 ($0.2175 per share) and $2,422,037 ($0.2175 per share) for the nine months ended September 30, 2024 and 2023, respectively.