Earnings Per Share

6 Months Ended

Jun. 30, 2015

The following table sets forth the computation of basic and diluted earnings per share (EPS) for the six months ended June 30, 2015 and 2014:



	Income (Numerator)		Shares (Denominator)	Per-Share Amount
For the six months ended June 30, 2015
Net income as reported	$	8,249,000
Basic EPS: Income available to common shareholders	8,249,000		10,668,345	$	0.77
Effect of dilutive securities: restricted stock			72,416
Diluted EPS: Income available to common shareholders plus assumed conversions	$	8,249,000	10,740,761	$	0.77
For the six months ended June 30, 2014
Net income as reported	$	7,175,000
Basic EPS: Income available to common shareholders	7,175,000		10,631,165	$	0.67
Effect of dilutive securities: restricted stock			66,830
Diluted EPS: Income available to common shareholders plus assumed conversions	$	7,175,000	10,697,995	$	0.67

The following table sets forth the computation of basic and diluted EPS for the quarters ended June 30, 2015 and 2014.



	Income (Numerator)		Shares (Denominator)	Per-Share Amount
For the quarter ended June 30, 2015
Net income as reported	$	4,074,000
Basic EPS: Income available to common shareholders	4,074,000		10,671,596	$	0.38
Effect of dilutive securities: restricted stock			77,263
Diluted EPS: Income available to common shareholders plus assumed conversions	$	4,074,000	10,748,859	$	0.38
For the quarter ended June 30, 2014
Net income as reported	$	3,747,000
Basic EPS: Income available to common shareholders	3,747,000		10,635,073	$	0.35
Effect of dilutive securities: restricted stock			72,684
Diluted EPS: Income available to common shareholders plus assumed conversions	$	3,747,000	10,707,757	$	0.35

All earnings per share calculations have been made using the weighted average number of shares outstanding during the period. The potentially dilutive securities are incentive stock options, unvested shares of restricted stock granted to certain key members of Management and the warrants. The number of dilutive shares is calculated using the treasury method, assuming that all options and warrants were exercisable at the end of each period. Options and warrants that are out-of-the-money are not considered in the calculation of dilutive earnings per share as the effect would be anti-dilutive.

The following table presents the number of options and warrants outstanding as of June 30, 2015 and 2014 and the amount for which the average market price at period end is above or below the strike price:



	Outstanding	In-the-Money	Out-of-the-Money
For the three and six months ended June 30, 2015
Incentive stock options	—	—	—
Warrants to private parties	226,819	226,819	—
Total dilutive securities	226,819	226,819	—
For the three and six months ended June 30, 2014
Incentive stock options	42,000	—	42,000
Warrants issued to Treasury	225,904	—	225,904
Total dilutive securities	267,904	—	267,904