Earnings per share

3 Months Ended

Mar. 31, 2023

The Company is required to present basic earnings per share and diluted earnings per share in its Consolidated Statements of Operations. Basic earnings per share amounts are computed by dividing net income by the weighted average number of common shares outstanding. Diluted earnings per share reflects additional common shares that would have been outstanding if potentially dilutive common shares had been issued, as well as any adjustment to income that would result from the assumed issuance. Potential common shares that may be issued by the Company relate to outstanding unvested RSAs granted to directors and employees. The dilutive effect resulting from these potential shares is determined using the treasury stock method. The Company is also required to provide a reconciliation of the numerator and denominator used in the computation of both basic and diluted earnings per share.

The following table summarizes the computation of basic and diluted earnings per share for the three months ended March 31, 2023 and 2022:


(Net income in thousands)	Three Months Ended March 31,
	2023			2022
Basis earnings per share:
Net income attributable to Common shareholders	$	(699)		$	800
Divided by:
Weighted average shares outstanding	3,965,186			3,956,492

Basic earnings per common share	$	(0.18)		$	0.20

Diluted earnings per share:
Net income attributable to Common shareholders	$	(699)		$	800

Weighted average shares outstanding	3,965,186			3,956,492

Effect of potentially dilutive restricted common shares	—		(1)	9,510

Divided by:
Weighted average diluted shares outstanding	3,965,186			3,966,002

Diluted earnings per common share	$	(0.18)		$	0.20


(1)			The weighted average diluted shares outstanding does not include 491 anti-dilutive restricted common shares for the three months ended March 31, 2023.