Note 10 - Earnings Per Share

3 Months Ended

Mar. 31, 2020

Notes to Financial Statements

Earnings Per Share [Text Block]

Note

10.

      Earnings per share

The Company is required to present basic earnings per share and diluted earnings per share in its Consolidated Statements of Operations. Basic earnings per share amounts are computed by dividing net (loss) income by the weighted average number of common shares outstanding. Diluted earnings per share reflects additional common shares that would have been outstanding if potentially dilutive common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. Potential common shares that

may

be issued by the Company relate to outstanding unvested RSAs granted to directors and employees. The dilutive effect resulting from these potential shares is determined using the treasury stock method. The Company is also required to provide a reconciliation of the numerator and denominator used in the computation of both basic and diluted earnings per share.

The following table summarizes the computation of basic and diluted earnings per share for the

three

months ended

March 31, 2020

and

2019:

(Net income in thousands)	Three Months Ended March 31,
	2020			2019
Basis (loss) earnings per share:
Net (loss) income attributable to Common shareholders	$	(1,072	)	$	323
Divided by:
Weighted average shares outstanding		3,931,388			3,917,312
Basic (loss) earnings per common share	$	(0.27	)	$	0.08
Diluted (loss) earnings per share:
Net (loss) income attributable to Common shareholders	$	(1,072	)	$	323
Weighted average shares outstanding		3,931,388			3,917,312
Effect of potentially dilutive restricted common shares		-	(1)		-	(2)
Divided by:
Weighted average diluted shares outstanding		3,931,388			3,917,312
Diluted (loss) earnings per common share	$	(0.27	)	$	0.08

( 1 )	The weighted average diluted shares outstanding does not include 10,112 anti-dilutive restricted common shares for the three months ended March 31, 2020.
( 2 )	The weighted average diluted shares outstanding does not include 448 anti-dilutive restricted common shares for the three months ended March 31, 2019.