Earnings Per Share

6 Months Ended

Jun. 27, 2020

Earnings per Share

Basic earnings per share is calculated by dividing net income by the weighted average number of common shares outstanding during the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the Company. The effect of potentially dilutive securities is not considered during periods of loss or if the effect is anti-dilutive.

The weighted average number of shares outstanding in calculating basic earnings per share for the six months ended June 27, 2020 and June 29, 2019 exclude 612,827 and 480,694 non-vested restricted shares, respectively. During the three and six months ended June 27, 2020, there were 180,554 and 177,029 weighted average securities which are not included in the calculation of diluted weighted average shares outstanding because their impact is anti-dilutive. There were no potentially anti-dilutive securities during the three and six months ended June 29, 2019.

The following table represents a reconciliation of the net income and weighted average shares outstanding for the calculation of basic and diluted earnings per share:



	Three Months Ended				Six Months Ended
	June 27, 2020		June 29, 2019		June 27, 2020		June 29, 2019
Numerator:
Net income – basic and diluted	$	4,503	$	8,794	$	8,691	$	14,337

Denominator:
Basic weighted average shares outstanding	12,308,965		12,106,066		12,271,221		12,033,906
Effect of dilutive non-vested restricted shares and units	245,282		351,110		271,618		334,029
Effect of issuable shares related to acquisitions	55,671		64,287		58,991		79,313
Diluted weighted average shares outstanding	12,609,918		12,521,463		12,601,830		12,447,248