Computation of Earnings Per Share

6 Months Ended

Jun. 30, 2020

NOTE G – COMPUTATION OF EARNINGS PER SHARE

Basic earnings per share were computed by dividing Net income by the weighted-average number of common shares outstanding for each respective period. Diluted earnings per share were calculated by dividing Net income by the weighted-average of all potentially dilutive common stock that was outstanding during the periods presented.

The calculation of basic and diluted earnings per share for the three and six months ended June 30, 2020 and 2019 was as follows:

	Three Months Ended June 30				Six Months Ended June 30
	2020		2019		2020		2019
Numerator
Net income	$	10,481	$	7,904	$	14,179	$	9,728
Denominator
Determination of shares
Weighted-average common shares outstanding		4,966		5,049		4,987		5,047
Dilutive effect - share-based awards		7		9		7		9
Diluted weighted-average common shares outstanding		4,973		5,058		4,994		5,056
Earnings per common share
Basic	$	2.11	$	1.57	$	2.84	$	1.93
Diluted	$	2.11	$	1.56	$	2.84	$	1.92

For the three and six-month periods ended June 30, 2020, 40,313 and 30,157 stock options, respectively, were excluded from the calculation of diluted earnings per share as the effect would have been anti-dilutive. For both three and six-month periods ended June 30, 2019, 15,000 stock options were excluded from the calculation of diluted earnings per share as the effect would have been anti-dilutive.