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Net Income Per Common Share
 3 Months Ended
Dec. 31, 2015
Earnings Per Share [Abstract]  
Net Income Per Common Share
NET INCOME PER COMMON SHARE
Basic net income per common share is computed by dividing net income by the weighted average number of common shares outstanding during the period, without considering any dilutive items.  Diluted net income per common share is computed by dividing net income by the weighted average number of common shares and common stock equivalents for items that are dilutive, net of shares assumed to be repurchased using the treasury stock method at the average share price for the Company’s common stock during the period.  Common stock equivalents arise from the assumed conversion of outstanding stock options and the outstanding warrant to purchase common stock.  Shares owned by the Bank’s ESOP that have not been allocated are not considered to be outstanding for the purpose of computing basic and diluted net income per common share. At December 31, 2015 and 2014, there were 118,097 and 156,020 shares, respectively, that had not been allocated under the Bank’s ESOP.

Information regarding the calculation of basic and diluted net income per common share for the three months ended December 31, 2015 and 2014 is as follows (dollars in thousands, except per share amounts):
 
Three Months Ended
December 31,
 
2015

 
2014

Basic net income per common share computation
 
 
 
Numerator – net income
$
2,528

 
$
1,727

 
 
 
 
Denominator – weighted average common
shares outstanding
6,869,726

 
6,891,952

 
 
 
 
Basic net income per common share
$
0.37

 
$
0.25

 
 
 
 
Diluted net income per common share computation
 
 
 
Numerator – net income
$
2,528

 
$
1,727

 
 
 
 
Denominator – weighted average
shares outstanding
6,869,726

 
6,891,952

Effect of dilutive stock options (1)
52,985

 
36,819

Effect of dilutive stock warrant (2)
161,153

 
134,769

Weighted average common shares
and common stock equivalents
7,083,864

 
7,063,540

 
 
 
 
Diluted net income per common share
$
0.36

 
$
0.24


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(1) For the three months ended December 31, 2015 and 2014, average options to purchase 154,000 and 122,000 shares of common stock, respectively, were outstanding but not included in the computation of diluted net income per share because their effect would have been anti-dilutive.
(2) Represents a warrant to purchase 370,899 shares of the Company's common stock at an exercise price of $6.73 per share (subject to anti-dilution adjustments) at any time through December 23, 2018.