Note 9 - Basic and Diluted Earnings Per Common Share

9 Months Ended

Sep. 30, 2021

Notes to Financial Statements

Earnings Per Share [Text Block]

9. Basic and Diluted Earnings per Common Share:

The following table reconciles the numerators and denominators of the basic and diluted earnings per common share computation (Dollar amounts in thousands of US dollars, except for share data):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Numerator for basic and diluted earnings per common share:
Net income for the period	$	1,375	$	716	$	5,331	$	3,707
Denominator for basic and diluted earnings per common share:
Basic weighted average number of common shares outstanding		10,679,309		10,577,731		10,643,798		10,585,785
Effect of outstanding stock options		140,407		105,077		156,563		93,377
Diluted weighted average number of shares outstanding		10,819,716		10,682,808		10,800,361		10,679,162
Basic earnings per common share	$	0.13	$	0.07	$	0.50	$	0.35
Diluted earnings per common share	$	0.13	$	0.07	$	0.49	$	0.35

For the three months ended September 30, 2021, options to purchase 92,470 common shares were not included in the computation of diluted income per common share because the options’ exercise price was greater than the average market price of the common shares for the period as compared to the three months ended September 30, 2020, where 87,659 outstanding options were not included in the computation.

For the nine months ended September 30, 2021, options to purchase 44,150 common shares were not included in the computation of diluted income per common share because the options’ exercise price was greater than the average market price of the common shares for the period as compared to the nine months ended September 30, 2020, where 130,876 outstanding options were not included in the computation.