Earnings Per Share

9 Months Ended

Sep. 30, 2014

Earnings Per Share [Abstract]

Earnings Per Share

NOTE 10. EARNINGS PER SHARE (EPS)

The Company had dividend eligible shares of restricted common stock that were outstanding during the nine and three months ended September 30, 2014. The basic and diluted per share computations include these unvested shares of restricted common stock if there is income available to Common Stock, as they have dividend participation rights. The shares of restricted common stock have no contractual obligation to share in losses. Because there is no such obligation, the shares of restricted common stock are not included in the basic and diluted EPS computations when no income is available to Common Stock even though they are considered participating securities.

The table below reconciles the numerator and denominator of EPS for the nine and three months ended September 30, 2014 and 2013.

(in thousands, except per-share information)
				Nine Months Ended September 30,				Three Months Ended September 30,
				2014		2013		2014		2013
Basic and diluted EPS per common share:
Numerator for basic and diluted EPS per common share:
	Net income (loss) - Basic and diluted		$	20,999	$	(2,143)	$	6,768	$	(997)
Weighted average common shares:
	Common shares outstanding at the balance sheet date			13,024		3,342		13,024		3,342
	Unvested dividend eligible shares of restricted common stock
		outstanding at the balance sheet date		24		-		24		-
	Effect of weighting			(4,733)		(441)		(2,338)		-
Weighted average shares-basic and diluted				8,315		2,901		10,710		3,342
Income (loss) per common share:
	Basic and diluted		$	2.53	$	(0.74)	$	0.63	$	(0.30)

On February 14, 2013, Orchid’s Board of Directors declared a stock dividend whereby 5.37 shares of common stock were issued for each share of common stock outstanding. The 827,555 shares distributed as the dividend were issued to Bimini on February 20, 2013, immediately prior to Orchid’s IPO. For the ninemonths ended September 30, 2013, the 827,555 shares distributed as a stock dividend were treated as if outstanding for the entire period, as Bimini was the sole stockholder during the entire period prior to Orchid’s IPO.