Income (Loss) Per Share and Per Unit

6 Months Ended

Jun. 30, 2022

13. Income (Loss) Per Share and Per Unit

Income (Loss) per Share. The limited partners’ outstanding limited partnership units in the Operating Partnership (which may be redeemed for common stock upon notice from the limited partner and following our election to redeem the units for stock rather than cash) have been excluded from the diluted earnings per share calculation as there would be no effect on the amounts since the limited partners’ share of income or loss would also be added back to net income or loss. The shares of the Series B Preferred Stock, Series C Preferred Stock and Series D Preferred Stock are not convertible into or exchangeable for any other property or securities of the Company, except upon the occurrence of a change of control, and have been excluded from the diluted earnings per share calculation as there would be no impact on the current controlling stockholders. The non-committed, unearned ESOP shares are treated as reducing the number of issued and outstanding common shares and similarly reducing the weighted average number of common shares outstanding. The unallocated ESOP shares have been excluded in the weighted average for the basic and diluted earnings per share computation. The computation of basic and diluted net income (loss) per share is presented below:


	Three Months Ended			Three Months Ended				Six Months Ended			Six Months Ended
	June 30, 2022			June 30, 2021				June 30, 2022			June 30, 2021
	(unaudited)			(unaudited)				(unaudited)			(unaudited)
Numerator
Net income (loss)	$	27,605,359		$	(1,553,970	)		$	26,794,415		$	(9,129,594	)
Less: Net (income)allocated to non-vested share awards		(93,329	)		-		(1)		(89,713	)		-		(1)
Net (income) loss attributable to non-controlling interest		(1,529,940	)		179,638				(1,368,319	)		879,176
Declared and undeclared distributions to preferred stockholders		(1,889,470	)		(1,529,613	)			(3,826,086	)		(3,718,524	)
Gain on extinguishment of preferred stock		83,500			93,342				161,675			93,342
Net income (loss) attributable to common stockholders	$	24,176,120		$	(2,810,603	)		$	21,671,972		$	(11,875,600	)


Denominator
Weighted average number common shares outstanding for basic EPS computation		17,762,513			14,635,701				17,436,975			14,530,316
Effect of dilutive securities:
Unvested restricted shares		65,000			-		(1)		63,343			-		(1)
Stock compensation awards unissued		58,519			-		(1)		108,633			-		(1)
Unearned ESOP shares		418,476			-		(1)		422,430			-		(1)
Weighted average number common and common equivalent shares outstanding for dilutied EPS computation		18,304,508			14,635,701				18,031,381			14,530,316

Basic net income (loss) per common share:
Undistributed income (loss)	$	1.36		$	(0.19	)		$	1.24		$	(0.82	)
Allocation of (income) loss to non-vested share awards		-			-				-			-
Total basic	$	1.36		$	(0.19	)		$	1.24		$	(0.82	)

Diluted net income (loss) per common share:
Undistributed income (loss)	$	1.32		$	(0.19	)		$	1.20		$	(0.82	)
Allocation of (income) loss to non-vested share awards		-			-				-			-
Total diluted	$	1.32		$	(0.19	)		$	1.20		$	(0.82	)

(1) Item is excluded in the calculation of diluted EPS due to its antidilutive effect.

The accounting for unvested share-based payment awards included in the calculation of earnings per share changed. Share-based awards that contain nonforfeitable rights to dividends or dividend equivalents, whether paid or unpaid, are now participating securities and included in the computation of both basic and diluted earnings per share. Our grants of restricted stock awards to our employees

and directors are considered participating securities, and we have prepared our earnings per share calculations to include outstanding unvested restricted stock awards in the basic and diluted weighted average shares outstanding calculation.

Income (Loss) Per Unit – The computation of basic and diluted net income (loss) per unit is presented below:


	Three Months Ended			Three Months Ended				Six Months Ended			Six Months Ended
	June 30, 2022			June 30, 2021				June 30, 2022			June 30, 2021
	(unaudited)			(unaudited)				(unaudited)			(unaudited)
Numerator
Net income (loss)	$	27,605,359		$	(1,553,970	)		$	26,794,415		$	(9,129,594	)
Less: Net (income)allocated to non-vested unit awards		(93,329	)		-		(1)		(89,713	)		-		(1)
Declared and undeclared distributions to preferred unitholders		(1,889,470	)		(1,529,613	)			(3,826,086	)		(3,718,524	)
Gain on extinguishment of preferred units		83,500			93,342				161,675			93,342
Net income (loss) attributable to unitholders	$	25,706,060		$	(2,990,241	)		$	23,040,291		$	(12,754,776	)


Denominator
Weighted average number of units outstanding for basic EPU computation		19,291,083			16,056,770				18,981,782			15,955,303
Effect of dilutive securities:
Unvested restricted units		58,519			-		(1)		108,633			-		(1)
Unit compensation awards unissued		65,000			-		(1)		63,343			-		(1)
Weighted average number of equivalent units outstanding for dilutied EPU computation		19,414,602			16,056,770				19,153,758			15,955,303

Basic net income (loss) per unit:
Undistributed income (loss)	$	1.33		$	(0.19	)		$	1.21		$	(0.80	)
Allocation of (income) loss to non-vested unit awards		-			-				-			-
Total basic	$	1.33		$	(0.19	)		$	1.21		$	(0.80	)

Diluted net income (loss) per unit:
Undistributed income (loss)	$	1.32		$	(0.19	)		$	1.20		$	(0.80	)
Allocation of (income) loss to non-vested unit awards		-			-				-			-
Total diluted	$	1.32		$	(0.19	)		$	1.20		$	(0.80	)

(1) Item is excluded in the calculation of diluted EPU due to its antidilutive effect.