Earnings Per Share

6 Months Ended

Jun. 30, 2023

7. Earnings Per Share

Basic earnings per share is computed using the weighted-average number of outstanding shares of common stock during the period. Diluted earnings per share is computed using the weighted-average number of outstanding shares of common stock and, when dilutive, potential shares of common stock outstanding during the period (“common stock equivalents”). Common stock equivalents consist of incremental shares issuable upon the assumed exercise of stock options and vesting of restricted stock units utilizing the treasury stock method.

The weighted-average diluted shares outstanding computation is:


	For the Three Months Ended June 30,				For the Six Months Ended June 30,
(in thousands, except per share data)	2023		2022		2023		2022
	(unaudited)				(unaudited)
Weighted-average common stock outstanding		20,874		20,788		20,850		20,627
Common stock equivalents		—		7		—		168
Weighted-average number of shares		20,874		20,795		20,850		20,795

Employee stock options with exercise prices greater than the average market price of the common stock were excluded from the diluted calculation as their inclusion would have been anti-dilutive. The following table summarizes the potential shares of common stock excluded from the diluted calculation:


	For the Three Months Ended June 30,				For the Six Months Ended June 30,
(in thousands)	2023		2022		2023		2022
	(unaudited)				(unaudited)
Common stock equivalents excluded due to net loss		53		—		52		—
Employee stock options and RSUs		492		475		471		413
		545		475		523		413