EARNINGS (LOSS) PER SHARE

6 Months Ended

Jun. 30, 2022

Basic earnings (loss) per share is computed by dividing the Company’s net income (loss) by the weighted average number of shares outstanding during the period. When the effects are not anti-dilutive, diluted earnings (loss) per share is computed by dividing the Company’s net income (loss) by the weighted average number of shares outstanding and the impact of all dilutive potential common shares, primarily stock options “in-the-money”, unvested restricted stock, and unvested restricted stock units. The dilutive impact of stock options, unvested restricted stock, and unvested restricted stock units is determined by applying the “treasury stock” method. Performance-based restricted stock awards are included in the computation of diluted earnings per share only to the extent that the underlying performance conditions: (i) are satisfied prior to the end of the reporting period; or (ii) would be satisfied if the end of the reporting period were the end of the related performance period and the result would be dilutive under the treasury stock method. Stock awards subject to vesting or exercisability based on the achievement of market conditions are included in the computation of diluted earnings per share only when the market conditions are met.

A reconciliation of the numerators and denominators of the basic and diluted earnings (loss) per share calculations for the three and six months ended June 30, 2022 and 2021 were as follows:


	Three Months Ended June 30,					Six Months Ended June 30,
	2022		2021			2022		2021
Earnings (loss) per share (“EPS”):



Basic	$	1.02	$	(0.04)		$	2.04	$	(0.11)



Diluted	$	0.98	$	(0.04)		$	1.95	$	(0.11)
EPS numerator - basic and diluted:


Net income (loss)	$	3,093	$	(122)		$	6,112	$	(325)
EPS denominator (in thousands):
Weighted average common stock outstanding - basic	3,028		2,906			2,997		2,899
Common stock equivalents: restricted stock units and restricted shares of common stock	118		—		(a)	135		—		(a)
Weighted average number of common stock outstanding - diluted	3,146		2,906			3,132		2,899

(a)The diluted weighted average number of shares of common stock outstanding did not differ from the basic weighted average number of shares of common stock outstanding because the effects of any potential common stock equivalents (see Note 6 to the Condensed Consolidated Financial Statements for further details on unvested restricted stock units) were anti-dilutive and therefore not included in the calculation of the denominator of dilutive earnings (loss) per share.

The weighted average number of shares outstanding used in the computation of diluted net earnings or loss per share for the three and six months ended June 30, 2022 and 2021 did not include the effect of the following potentially outstanding shares of common stock because the effect would have been anti-dilutive:


	Three Months Ended June 30,		Six Months Ended June 30,
	2022	2021	2022	2021
Unvested restricted shares of common stock	—	52,226	—	52,226
Unvested restricted stock units	30,493	146,893	15,338	146,893

Total	30,493	199,119	15,338	199,119