Net Income per Share

9 Months Ended

Sep. 30, 2023

Net Income per Share

Net Income per Share

NOTE 3. Net Income per Share

Basic net income per common share is calculated as net income divided by the weighted average common shares outstanding during the reporting period. Common shares include vested and unvested restricted shares.

Diluted net income per common share is computed similarly to that of basic net income per common share, except that the denominator is increased to include the number of additional common shares that would have been outstanding if all potentially dilutive common shares, principally stock options, were issued during the reporting period utilizing the treasury stock method.

The following is a reconciliation of the calculation of basic and diluted income per share:

	For the three months ended September 30,				For the nine months ended September 30,
(In thousands, except per share amounts)	2023		2022		2023		2022
Net income	$	9,950	$	9,942	$	29,937	$	28,501
Weighted average common shares outstanding - Basic		10,128		10,522		10,255		10,491
Plus: Potential dilutive common stock equivalents		130		192		126		203
Weighted average common shares outstanding - Diluted		10,258		10,714		10,381		10,694
Net income per common share - Basic	$	0.98	$	0.94	$	2.92	$	2.72
Net income per common share - Diluted		0.97		0.93		2.88		2.67
Stock options and common stock excluded from the income per share calculation as their effect would have been anti-dilutive		—		—		—		—