Earnings Per Share

9 Months Ended

Sep. 30, 2023

14.

Earnings Per Share

Earnings per share have been computed using the weighted average number of common shares and common share equivalents outstanding during the period.

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


	Quarters Ended September 30,				Nine Months Ended September 30,
(Dollars in thousands, except share and per share data)	2023		2022		2023		2022
Numerator:
Net income (loss)	$	7,700	$	23,746	$	19,531	$	(3,189	)
Less: preferred stock distributions		110		110		330		330
Net income (loss) available to common shareholders	$	7,590	$	23,636	$	19,201	$	(3,519	)

Denominator:
Weighted average shares for basic earnings per share		13,522,874		14,589,797		13,556,665		14,549,601
Non-vested restricted stock units		65,609		119,469		57,721		—
Options		225,962		86,696		184,490		—
Weighted average shares for diluted earnings per share (1)		13,814,445		14,795,962		13,798,876		14,549,601

Earnings per share - Basic	$	0.56	$	1.62	$	1.42	$	(0.24	)
Earnings per share - Diluted	$	0.55	$	1.60	$	1.39	$	(0.24	)

(1)

For the nine months ended September 30, 2022, “weighted average shares outstanding – basic” was used to calculate “diluted earnings per share” due to a net loss for the period.

If the Company had not incurred a loss in the nine months ended September 30, 2022, 14,748,967 weighted average shares would have been used to compute the diluted loss per share calculation. In addition to the basic shares, weighted average shares for the diluted calculation for the nine months ended September 30, 2022 would have included 107,005 shares of non-vested restricted stock units and 92,360 share equivalents for options.

The weighted average shares outstanding used to determine dilutive earnings per share does not include 300,000 shares for the quarter ended September 30, 2023 and 346,667 shares for the nine months ended September 30, 2023, which were deemed to be anti-dilutive. The weighted average shares outstanding used to determine dilutive earnings per share does not include 393,333 shares for both the quarter and nine months ended September 30, 2022, which were deemed to be anti-dilutive.