Earnings Per Share

9 Months Ended

Sep. 30, 2023


3. Earnings (Loss) Per Share

We compute basic earnings (loss) per share by dividing net income (loss) available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted earnings (loss) per share is computed by dividing net income (loss) available to common stockholders by the weighted average number of common shares and dilutive potential common shares outstanding during the period. Diluted earnings (loss) per share reflects the assumed exercise, settlement and vesting of all dilutive securities using the “treasury stock method” except when the effect is anti-dilutive. Potentially dilutive securities consist of shares issuable upon the exercise of stock options, settlement of stock appreciation rights and vesting of restricted stock awards and units. Diluted loss per share for the nine months ended September 30, 2023 and the three and nine months ended September 30, 2022 was the same as basic loss per share as there were net losses each of those periods and inclusion of potentially dilutive securities was anti-dilutive.

The following table sets forth the computation of basic and diluted earnings (loss) per share:


	Three months ended September 30,				Nine months ended September 30,
(dollars in thousands, except per share amounts)	2023		2022		2023		2022
Numerator:
Net income (loss)	$	9,017	$	(10,319)	$	(3,579)	$	(24,148)
Denominator:
Weighted average common shares	52,704,974		51,692,152		52,495,556		51,519,340
Add effect of dilutive securities:
Stock-based awards	1,384,923		—		—		—
Weighted average common shares assuming dilution	54,089,897		51,692,152		52,495,556		51,519,340
Earnings (loss) per share
Basic	$	0.17	$	(0.20)	$	(0.07)	$	(0.47)
Diluted	$	0.17	$	(0.20)	$	(0.07)	$	(0.47)

Anti-dilutive shares excluded from calculations of diluted earnings (loss) per share	21,660		936,214		474,150		1,195,709