Earnings Per Share

12 Months Ended

Dec. 31, 2016

Basic earnings per share is computed by dividing net income available to common stockholders by the weighted average number of common shares outstanding. Diluted earnings per share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding and dilutive common share equivalents using the treasury stock method. Dilutive common share equivalents include common shares issuable upon exercise of outstanding stock options. The effect from the stock options on incremental shares from the assumed conversions for net income per share-basic and net income per share-diluted are presented below. There were antidilutive shares of 17,649 and 22,300 for the years ended December 31, 2016 and 2015, respectively.



(Dollars in thousands, except share amounts)	2016		2015
Basic earnings per share computation:
Net income available to common stockholders	$	4,777	$	1,390
Average common shares outstanding – basic	5,838,574		3,985,202
Basic earnings per share	$	0.82	$	0.35
Diluted earnings per share computation:
Net income available to common stockholders	$	4,777	$	1,390
Average common shares outstanding – basic	5,838,574		3,985,202
Incremental shares from assumed conversions:
Stock options	280,369		296,307
Average common shares outstanding - diluted	6,118,943		4,281,509
Diluted earnings per share	$	0.78	$	0.32