Earnings Per Share

6 Months Ended

Jun. 30, 2017

Earnings Per Share

Basic net income per common share available to common stockholders is calculated as net income less preferred stock dividends divided by the weighted average number of common shares outstanding. Diluted net income per common share available to common stockholders is computed using the weighted average number of common shares outstanding, increased by the assumed conversion of the Company’s convertible preferred stock and the Company’s stock options, unless anti-dilutive.

The components of basic and diluted net income per common share available to common stockholders for the three and six-month period ended June 30, 2017 and 2016 were as follows:



	Three months ended June 30,					Six months ended June 30,
	2017		2016			2017		2016
Basic Net Income per Common Share
Available to Common Stockholders:
Net income	$	8,200,000	$	4,929,000		$	14,464,000	$	9,735,000
Preferred stock dividends	—		(275,000		)	—		(825,000		)
Net income available to common stockholders	$	8,200,000	$	4,654,000		$	14,464,000	$	8,910,000
Weighted average common shares outstanding	12,491,757		9,152,709			12,483,788		8,804,107
Basic earnings per common share	$	0.66	$	0.51		$	1.16	$	1.01
Diluted Net Income per Common Share
Available to Common Stockholders:
Net income available to common stockholders	$	8,200,000	$	4,654,000		$	14,464,000	$	8,910,000
Effect of assumed preferred stock conversion	—		275,000			—		825,000
Net income applicable to diluted earnings per share	$	8,200,000	$	4,929,000		$	14,464,000	$	9,735,000
Weighted average common shares outstanding	12,491,757		9,152,709			12,483,788		8,804,107
Dilutive potential common shares:
Assumed conversion of stock options	—		1,864			—		2,045
Restricted stock awarded	836		5,232			836		5,232
Assumed conversion of preferred stock	7,338		685,067			7,338		1,020,207
Dilutive potential common shares	8,174		692,163			8,174		1,027,484
Diluted weighted average common shares outstanding	12,499,931		9,844,872			12,491,962		9,831,591
Diluted earnings per common share	$	0.66	$	0.50		$	1.16	$	0.99

The following shares were not considered in computing diluted earnings per share for the three and six-month periods ended June 30, 2017 and 2016 because they were anti-dilutive:



	Three months ended June 30,		Six months ended June 30,
	2017	2016	2017	2016
Stock options to purchase shares of common stock	—	24,500	—	24,500