Earnings Per Common Share

12 Months Ended

Dec. 31, 2020

Earnings per common share

Earnings Per Common Share

NOTE 15 – Earnings Per Common Share

The following schedule reconciles the numerators and denominators of the basic and diluted earnings per share computations for the years ended December 31, 2020, 2019 and 2018. Dilutive common shares arise from the potentially dilutive effect of the Company’s stock options and warrants that are outstanding. The assumed conversion of stock options and warrants can create a difference between basic and dilutive net income per common share.

At December 31, 2020, 2019 and 2018, options totaling 318,825, 94,885, and 195,425, respectively, were anti-dilutive in the calculation of earnings per share as their exercise price exceeded the fair market value. These options were therefore excluded from the diluted earnings per share calculation.

		December 31,
(dollars in thousands, except share data)		2020		2019		2018
Numerator:
Net income	$		18,328	$	27,858	$	22,289
Net income available to common shareholders	$		18,328	$	27,858	$	22,289
Denominator:
Weighted-average common shares outstanding - basic			7,718,615		7,528,283		7,384,200
Common stock equivalents			105,599		244,261		353,295
Weighted-average common shares outstanding - diluted			7,824,214		7,772,544		7,737,495
Earnings per common share:
Basic	$		2.37	$	3.70	$	3.02
Diluted	$		2.34	$	3.58	$	2.88