Earnings per share

3 Months Ended

Mar. 31, 2026

7. Earnings per share

The following table sets forth the reconciliation of basic and diluted weighted average shares outstanding:

	Three Months Ended
	March 31,
	2026		2025
	(In thousands, except per-share data)

Net income	$	766	$	19

Shares:
Basic: Weighted average common shares outstanding		10,178		10,043
Add: Dilutive effect of outstanding options and restricted stock units as determined by the treasury stock method		55		11
Diluted: Weighted average common and common equivalent shares outstanding		10,233		10,054

Net income per common share:
Basic	$	0.08	$	0.00
Diluted	$	0.07	$	0.00

The computation of basic net earnings per share for each period is computed by dividing earnings by the basic weighted average number of common shares outstanding during the period. Diluted earnings per share is computed by dividing net earnings by the weighted average number of shares outstanding during the period increased by the number of additional shares that would have been outstanding related to potentially dilutive securities under the treasury stock method (including stock options, restricted stock units and performance stock units), if the impact is dilutive.

When the average market price of our common stock is lower than the exercise price of the related stock option during the period, the computation of diluted earnings per share excludes the effect of the potential exercise of these stock option awards because the effect of including these stock option exercises would be anti-dilutive. Furthermore, in periods when a net loss is reported, basic and diluted net loss per common share are calculated using the same method.

There were 1.1 million and 1.4 million anti-dilutive stock awards excluded from the computation of earnings per share for the quarters ended March 31, 2026, and March 31, 2025, respectively.