The Company computes earnings per share using the two-class method in accordance with ASC Topic No. 260, "Earnings per Share”, ("ASC 260”). The two-class method is an allocation of earnings between the holders of common stock and a company’s participating security holders. The Company has outstanding Restricted Stock Units ("RSUs”) granted on September 3, 2024, for 750,000 shares which provide the holder with a non-forfeitable right to receive dividends on the full amount, even prior to vesting. The RSUs, and related dividends, vest in five equal installments on each anniversary of the award date. These RSUs are considered participating securities and require the use of the two-class method for computing basic and diluted earnings per share ("EPS”), pursuant to ASC 260. There were no other outstanding RSUs for the periods ended June 30, 2026 and 2025.

 Basic and diluted earnings per common share were computed as follows:  

The calculation of diluted earnings per share in the six months ended June 30, 2026 excludes the effect of incremental shares from the unvested RSUs and options to purchase the Company's stock, as their inclusion would be anti-dilutive due to the reported net loss. In the three and six months ended June 30, 2025, all of the prorated RSU's were excluded in the computation of earnings per share as all were anti-dilutive. Certain options to purchase the Company's common stock were not included in the computation of diluted earnings per share for the three and six months ended June 30, 2026 and 2025, respectively, because they were anti-dilutive in the period. The weighted number of options excluded was 119,174 and 124,587 for the three and six months ended June 30, 2026, respectively, and 50,000 and 45,000 for the three and six months ended June 30, 2025, respectively.