Earnings Per Share (Tables)

12 Months Ended

Dec. 31, 2022

Earnings Per Share [Abstract]

Schedule of earnings per share

Basic earnings per share is calculated by dividing the net income attributable to equity holders of the Company for the year by the weighted average number of common shares outstanding during the period.

	Year Ended December 31,
	2022		2021
	(in thousands, except per share data)
Net income attributable to Karat Packaging Inc.	$	23,648	$	20,778
Weighted average shares	19,825		18,409
Basic earnings per share	$	1.19	$	1.13

The following table summarizes the calculation of diluted earnings per share:

	Year Ended December 31,
	2022		2021
	(in thousands, except per share data)
Net income attributable to Karat Packaging Inc.	$	23,648	$	20,778
Weighted average shares	19,825		18,409
Dilutive shares
Stock options and restricted stock units	101		157
Total dilutive shares	19,926		18,566
Diluted earnings per share	$	1.19	$	1.12