Income (Loss) Per Common Share

Basic net income (loss) per share (“EPS”) is calculated by dividing net income (loss) attributable to common stockholders by the weighted average shares outstanding during the period. Diluted EPS is calculated by adjusting weighted average shares outstanding for the dilutive effect of potential common shares, determined using the treasury-stock method. For purposes of the diluted EPS calculation, stock options, nonvested stock and restricted stock unit awards are considered to be potential common shares. During periods of net income, participating securities are allocated a proportional share of net income determined by dividing total weighted average participating securities by the sum of total weighted average common shares and participating securities (“the two-class method”). During periods of net loss, no effect is given to participating securities since they do not share in the losses of the Company.

The basic and diluted EPS calculations for the three and nine months ended September 30, 2014 and 2013 are presented below:

Basic EPS



	Three Months Ended September 30,					Nine Months Ended September 30,
(in thousands, except share and per share amounts)	2014		2013			2014		2013
Income (loss) from continuing operations	$	4,934	$	(5,603	)	$	7,105	$	(7,933	)
Redeemable Class B Senior Preferred stock deemed dividend	—		(363		)	—		(1,836		)
Income (loss) attributable to common stockholders, from continuing operations	4,934		(5,966		)	7,105		(9,769		)
Income from discontinued operations, net of tax	40		90			208		341
Income (loss) attributable to common stockholders	$	4,974	$	(5,876	)	$	7,313	$	(9,428	)

Weighted average outstanding shares of common stock	25,733,833		19,813,209			25,713,688		15,718,667
Basic EPS
Income (loss) from continuing operations	$	0.19	$	(0.30	)	$	0.27	$	(0.62	)
Income from discontinued operations	—		—			0.01		0.02
Net income (loss) per share	$	0.19	$	(0.30	)	$	0.28	$	(0.60	)

Diluted EPS



	Three Months Ended September 30,					Nine Months Ended September 30,
(in thousands, except share and per share amounts)	2014		2013			2014		2013
Income (loss) from continuing operations	$	4,934	$	(5,603	)	$	7,105	$	(7,933	)
Redeemable Class B Senior Preferred stock deemed dividend	—		(363		)	—		(1,836		)
Income (loss) attributable to common stockholders, from continuing operations	4,934		(5,966		)	7,105		(9,769		)
Income from discontinued operations, net of tax	40		90			208		341
Income (loss) attributable to common stockholders	$	4,974	$	(5,876	)	$	7,313	$	(9,428	)

Weighted average outstanding shares of common stock	25,733,833		19,813,209			25,713,688		15,718,667
Effect of dilutive securities:
Nonvested stock	357,177		—			359,941		—
Stock options	133,604		—			140,395		—
Restricted stock units	4,709		—			4,381		—
Weighted average shares and dilutive shares	26,229,323		19,813,209			26,218,405		15,718,667
Diluted EPS
Income (loss) from continuing operations	$	0.19	$	(0.30	)	$	0.27	$	(0.62	)
Income from discontinued operations	—		—			0.01		0.02
Net income (loss) per share	$	0.19	$	(0.30	)	$	0.28	$	(0.60	)

The following table provides the securities that could potentially dilute basic earnings per share in the future, but were not included in the computation of diluted earnings per share because to do so would have been anti-dilutive:



	Three Months Ended September 30,		Nine Months Ended September 30,
	2014	2013	2014	2013
Stock options	823,566	689,713	820,517	689,713
Nonvested stock	44,245	618,319	44,245	618,319
Restricted stock units	—	10,000	—	10,000