Note 7 - Earnings Per Share

3 Months Ended

Mar. 31, 2026

Notes to Financial Statements

Earnings Per Share [Text Block]

(7)

EARNINGS PER SHARE

Basic net income per share was computed using the weighted-average shares of common stock outstanding during the period.

Diluted net income per share was computed using the weighted-average shares of common stock and, if dilutive, the potential common stock outstanding during the period. Potential shares of common stock consist of the incremental common stock issuable upon the exercise of stock options and vesting of restricted stock. The dilutive effect of outstanding stock options and restricted stock units is reflected in diluted earnings per share by application of the treasury stock method.

We had 370,699 and 427,838 options of common stock for the three-month periods ended March 31, 2026, and 2025, respectively, which have been excluded from the diluted net income per share computation because their inclusion would be anti-dilutive. Performance-based stock option awards have not been included in the computation since the conditions have not been met.

		For the Three Months Ended March 31, 2026				For the Three Months Ended March 31, 2025
		(In thousands, except per share data)
Numerator for net income per share – basic:
Net income		$	3,222			$	5,787
Allocation of distributed and undistributed income to unvested restricted stock shareholders			(133	)			-
Net income attributable to common shareholders			3,089				5,787
Denominator for net income per share – basic:
Weighted average shares of common stock outstanding – basic			21,799				22,972
Net income per share – basic		$	0.14			$	0.25

Numerator for net income per share – diluted:
Net income attributable to common shareholders for basic computation			3,089				5,787
Denominator for net income per share – diluted:
Weighted average shares of common stock outstanding – basic			21,799				22,972
Weighted average effect of dilutive securities – stock options			56				2
Weighted average effect of dilutive securities – restricted stock units			56				0
Denominator for diluted earnings per share – adjusted weighted average shares			21,911				22,974
Net income per share – diluted		$	0.14			$	0.25