Note 9 - Net Income Per Share

6 Months Ended

Jun. 30, 2025

Notes to Financial Statements

Earnings Per Share [Text Block]

9. Net Income per Share

The Company computes basic net income per common share by dividing the net income by the weighted average number of shares of common stock outstanding for the period. Diluted net income per common share is computed by dividing net income by the weighted average number of shares of common stock outstanding for the period, including potential dilutive common shares assuming the dilutive effect of outstanding stock awards, using the treasury stock method, and outstanding convertible notes, using the if-converted method.

A reconciliation of the numerators and the denominators of the basic and dilutive net income per common share computations are as follows:

		Three months ended								Six months ended
		June 30,								June 30,
		2025				2024				2025				2024
		(in thousands, except per share data)								(in thousands, except per share data)
Numerator:
Net income		$	13,779			$	11,826			$	24,790			$	21,713

Denominator:
Weighted average basic common shares outstanding			22,614				22,458				22,592				22,412
Effect of dilutive securities:
Options to purchase common stock			210				184				235				173
Resticted stock units			40				57				39				47
Performance-based restricted stock units			28				26				30				25
Weighted average dilutive common shares outstanding			22,892				22,725				22,896				22,657

Net income per share:
Basic		$	0.61			$	0.53			$	1.10			$	0.97
Diluted		$	0.60			$	0.52			$	1.08			$	0.96

The Company excluded the following common shares, presented based on weighted average shares outstanding, from the computation of diluted net income per share because including them would have had an anti-dilutive effect:

		Three months ended								Six months ended
		June 30,								June 30,
		2025				2024				2025				2024
		(in thousands)								(in thousands)

Convertible senior notes			1,442				-				1,442				-
Options to purchase common stock			126				26				126				147
Restricted stock units			32				-				32				-
Performance-based restricted stock units			10				-				10				-
			1,610				26				1,610				147