Note 4 - Earnings Per Share

6 Months Ended

Jun. 30, 2015

4.	EARNINGS PER SHARE

The following table sets forth the computation of basic and diluted earnings per share (“EPS”) for the three and six months ended June 30, 2015 and 2014:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
Numerator:
Net income	$	1,507,896	$	1,765,485	$	2,952,303	$	3,619,897
Numerator for basic and diluted earnings per share		1,507,896		1,765,485		2,952,303		3,619,897
Denominator:
Weighted-average shares outstanding-basic		10,212,933		10,198,733		10,212,137		10,198,733

Effect of dilutive securities:
Stock options		28,231		39,376		28,993		39,067
Restricted stock		-		1,714		-		1,647
Dilutive potential common shares		28,231		41,090		28,993		40,714
Denominator for diluted earnings per share- weighted-average shares		10,241,164		10,239,823		10,241,130		10,239,447

Basic earnings per share	$	0.15	$	0.17	$	0.29	$	0.35
Diluted earnings per share	$	0.15	$	0.17	$	0.29	$	0.35

The net effect of converting stock options and warrants to purchase 130,833 and 119,201 shares of common stock at exercise prices less than the average market prices has been included in the computations of diluted earnings per share for the quarters ended June 30, 2015 and 2014, respectively.