Earnings Per Common Share

9 Months Ended

Sep. 30, 2025

Basic net earnings per common share is computed by dividing net income by the weighted-average number of shares of Common Stock outstanding. Diluted earnings per common share reflects, in periods in which it has a dilutive effect, the impact of shares of Common Stock issuable upon exercise of stock options and warrants as well as non-vested restricted stock awards. The computation of diluted earnings per common share excludes those options and warrants with an exercise price in excess of the average market price of the Company’s Common Stock during the periods presented. For the three months ended September 30, 2025 and 2024, there were -0- options and 61,270 options, respectively, with an exercise price in excess of the average market price of the Company’s Common Stock during the periods. For the nine months ended September 30, 2025 and 2024, there were -0- options and 61,270 options, respectively, with an exercise price in excess of the average market price of the Company’s Common Stock during the periods. For the three months and nine months ended September 30, 2025 and 2024, there were no warrants with an exercise price in excess of the average market price of the Company’s Common Stock during the periods.

The computation of diluted earnings per common share excludes outstanding options, warrants and non-vested restricted stock awards in periods where the exercise of such options and warrants or vesting of such restricted stock awards would be anti-dilutive. For the three months ended September 30, 2025 and 2024, there were no options, warrants or restricted stock awards that were anti-dilutive for the relevant periods.

The reconciliation of the weighted average number of shares of Common Stock used in the calculation of basic and diluted earnings per common share follows:


	Three months ended September 30		Nine months ended September 30
	2025	2024	2025	2024

Weighted average number of shares outstanding	14,142,374	11,404,360	13,849,283	11,142,043

Effect of dilutive securities, common share equivalents:
Stock options	169,314	182,607	173,059	159,900
Warrants	228,580	752,619	230,149	731,520
Restricted stock awards	60,973	241,542	50,835	216,113

Weighted average number of shares outstanding, used for computing diluted earnings per share	14,601,241	12,581,128	14,303,326	12,249,576