Earnings Per Share

9 Months Ended

Sep. 30, 2022

Earnings Per Share

Earnings Per Share

Note 9. Earnings Per Share

Basic earnings per share (“EPS”) is computed by dividing net income or loss by the weighted average number of shares outstanding during the period. Diluted EPS is computed using the weighted average number of shares outstanding during the period, including the effect of all potentially dilutive shares outstanding attributable to stock instruments.  

Applicable guidance requires that outstanding, unvested share-based payment awards that contain voting rights and rights to nonforfeitable dividends participate in undistributed earnings with common shareholders. Accordingly, the weighted average number of shares of the Company’s common stock used in the calculation of basic and diluted net income per common share includes unvested shares of the Company’s outstanding restricted common stock.

The following table presents basic and diluted EPS for the three and nine months ended September 30, 2022 and 2021:

	Net Income Applicable
	to Basic Earnings		Weighted Average
(Dollars in thousands, except per share data)	Per Common Share		Shares Outstanding
For the three months ended September 30, 2022
Basic EPS	$	4,110		17,962	$	0.229
Effect of dilutive stock awards		—		32		—
Diluted EPS	$	4,110		17,994	$	0.228
For the nine months ended September 30, 2022
Basic EPS	$	9,398		17,961	$	0.523
Effect of dilutive stock awards		—		34		—
Diluted EPS	$	9,398		17,995	$	0.522
For the three months ended September 30, 2021
Basic EPS	$	2,696		17,788	$	0.152
Effect of dilutive stock awards		—		56		—
Diluted EPS	$	2,696		17,844	$	0.151
For the nine months ended September 30, 2021
Basic EPS	$	5,946		17,758	$	0.335
Effect of dilutive stock awards		—		42		—
Diluted EPS	$	5,946		17,800	$	0.334