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Earnings Per Share
12 Months Ended
Dec. 31, 2022
Earnings Per Share  
Earnings Per Share

Note 7 - Earnings Per Share

Basic earnings per share is computed by dividing net income (loss) applicable to common stockholders by the weighted average number of common shares outstanding during the period. Diluted earnings per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding during the period, plus the dilutive effect of outstanding stock options, restricted stock units, and common shares issuable upon conversion of convertible preferred stock using the treasury stock method. The following table sets forth the computation of basic and diluted earnings per share:

Year Ended

December 31,

2022

2021

(in thousands, except per share data)

Net income (loss)

    

$

1,672

    

$

(734)

Less: Preferred stock dividends

 

(400)

 

(48)

Net income (loss) applicable to common stockholders

$

1,272

$

(782)

Weighted average common shares outstanding – basic

 

6,603

 

6,601

Dilutive potential common shares from stock options, restricted stock units, and convertible preferred stock

 

 

Weighted average common shares outstanding – diluted

 

6,603

 

6,601

Earnings (loss) per common share, basic

$

0.19

$

(0.12)

Earnings (loss) per common share, diluted

$

0.19

$

(0.12)

Shares subject to anti-dilutive stock options and restricted stock units excluded from calculation

 

 

Shares subject to anti-dilutive Series A Convertible Preferred Stock excluded from calculation

 

400

 

400