Stockholders' Equity and Earnings per Share

6 Months Ended

Jun. 30, 2022

Stockholders' Equity and Earnings per Share [Abstract]

Stockholders' Equity and Earnings per Share

Note 9. Stockholders’ Equity and Earnings per Share

STOCKHOLDERS’ EQUITY – Accumulated Other Comprehensive Income (Loss)

There were no amounts reclassified out of accumulated other comprehensive income (loss), by category, during the three or six month periods ended June 30, 2022 or 2021, respectively.

The following tables present the changes in accumulated other comprehensive income (loss), by category, net of tax, for the periods indicated:

(dollars in thousands)	Unrealized Gains (Losses) on Available-for-Sale Securities			Accumulated Other Comprehensive (Loss) Income
Three Months Ended June 30, 2022
Balance at beginning of period	$	(9,458	)	$	(9,458	)
Net other comprehensive loss		(6,392	)		(6,392	)
Balance at end of period	$	(15,850	)	$	(15,850	)
Three Months Ended June 30, 2021
Balance at beginning of period	$	2,375		$	2,375
Net other comprehensive income		696			696
Balance at end of period	$	3,071		$	3,071

(dollars in thousands)	Unrealized Gains (Losses) on Available-for-Sale Securities			Accumulated Other Comprehensive (Loss) Income
Six Months Ended June 30, 2022
Balance at beginning of period	$	1,675		$	1,675
Net other comprehensive loss		(17,525	)		(17,525	)
Balance at end of period	$	(15,850	)	$	(15,850	)
Six Months Ended June 30, 2021
Balance at beginning of period	$	4,069		$	4,069
Net other comprehensive loss		(998	)		(998	)
Balance at end of period	$	3,071		$	3,071

The following tables present the change in each component of accumulated other comprehensive income (loss) on a pre-tax and after-tax basis for the periods indicated.

	Three Months Ended June 30, 2022
(dollars in thousands)	Pretax			Tax			Net-of-Tax
Unrealized losses on available-for-sale securities:
Unrealized holding losses arising during the period	$	(8,090	)	$	(1,698	)	$	(6,392	)
Total change in accumulated other comprehensive income, net	$	(8,090	)	$	(1,698	)	$	(6,392	)
	Three Months Ended June 30, 2021
(dollars in thousands)	Pretax			Tax			Net-of-Tax
Unrealized gains on available-for-sale securities:
Unrealized holding gains arising during the period	$	881		$	185		$	696
Total change in accumulated other comprehensive income, net	$	881		$	185		$	696

	Six Months Ended June 30, 2022
(dollars in thousands)	Pretax			Tax			Net-of-Tax
Unrealized losses on available-for-sale securities:
Unrealized holding losses arising during the period	$	(22,183	)	$	(4,658	)	$	(17,525	)
Total change in accumulated other comprehensive income, net	$	(22,183	)	$	(4,658	)	$	(17,525	)
	Six Months Ended June 30, 2021
(dollars in thousands)	Pretax			Tax			Net-of-Tax
Unrealized losses on available-for-sale securities:
Unrealized holding losses arising during the period	$	(1,263	)	$	(265	)	$	(998	)
Total change in accumulated other comprehensive income, net	$	(1,263	)	$	(265	)	$	(998	)

EARNINGS PER COMMON SHARE

Basic EPS is computed by dividing net income by the weighted average number of common shares outstanding during the period. Diluted EPS is computed using the weighted average number of common shares outstanding during the period, including the effect of dilutive potential common shares attributable to the ESPP.

The following is a reconciliation of the denominators of the basic and diluted EPS computations for the three and six months ended June 30, 2022 and 2021:

(dollars in thousands except per share data)	Net Income Available to Common Shareholders (Numerator)		Weighted Average Common Shares (Denominator)		Per Share  Amount
Three Months Ended June 30, 2022
Net income, basic	$	1,892		5,087	$	0.37
Potentially dilutive common shares - employee stock purchase program		-		-		-
Diluted	$	1,892		5,087	$	0.37
Three Months Ended June 30, 2021
Net income, basic	$	1,842		5,237	$	0.35
Potentially dilutive common shares - employee stock purchase program		-		-		-
Diluted	$	1,842		5,237	$	0.35
Six Months Ended June 30, 2022
Net income, basic	$	3,923		5,136	$	0.76
Potentially dilutive common shares - employee stock purchase program		-		-		-
Diluted	$	3,923		5,136	$	0.76
Six Months Ended June 30, 2021
Net income, basic	$	4,854		5,231	$	0.93
Potentially dilutive common shares - employee stock purchase program		-		-		-
Diluted	$	4,854		5,231	$	0.93

The Company had no antidilutive shares outstanding in the three and six months ended June 30, 2022 and 2021, respectively. Nonvested restricted common shares, which carry all rights and privileges of a common share with respect to the stock, including the right to vote, were included in the basic and diluted per common share calculations.

The Company has a share repurchase program (the Repurchase Program) which was authorized by the Board of Directors in October 2021 to repurchase up to 10% of the Company’s issued and outstanding common stock through November 30, 2022. During the first six months of 2022, 199,095 shares, for an aggregate purchase price of $5.0 million, were repurchased by the Company under the Repurchase Plan, and of these shares, approximately 76,100 shares, for an aggreagate purchase price of $1.9 million, were repurchased by the Company during the second quarter of 2022.