Note 21 - Earnings Per Share

12 Months Ended

Dec. 31, 2017

Notes to Financial Statements

Earnings Per Share [Text Block]

NOTE

2

1

–

EARNINGS

PER SHARE

The

two

-class method is used in the calculation of basic and diluted earnings per share. Under the

two

-class method, earnings available to common shareholders for the period are allocated between common shareholders and participating securities according to dividends declared (or accumulated) and participation rights in undistributed earnings. The factors used in the earnings per share computation follow:

	Years Ended December 31,
	2017			2016
Basic:
Net income available to common shareholders	$	360,591		$	5,295,127
Less: Earnings allocated to participating securities		(543	)		-
Net income allocated to common shareholders	$	360,048		$	5,295,127
Weighted-average common shares outstanding including participating securities		3,443,695			3,438,385
Less: Participating securities		(4,915	)		-
Less: Average unallocated ESOP Shares		(181,887	)		(68,889	)
Average shares		3,256,893			3,369,496
Basic earnings per common share	$	0.11		$	1.57
Diluted:
Net income allocated to common shareholders	$	360,048		$	5,295,127
Weighted-average common shares outstanding for basic earnings per common share		3,256,893			3,369,496
Add: Dilutive effects of assumed exercises of stock options		8,269			3,996
Average shares and dilutive potential common shares		3,265,162			3,373,492
Diluted earnings per common share	$	0.11		$	1.57

P

articipating securities are restricted stock awards since they participate in common stock dividends. Stock options for

178,650

and

0

shares of common stock were

not

considered in computing diluted earnings per common share for

2017

and

2016,

respectively, because they were antidilutive.

Shares outstanding in the above

discussion and table for all periods prior to

October 2016

have been restated at the

second

-step conversion exchange rate of

2.0473

to one.