Note 8 - Earnings Per Share

3 Months Ended

Mar. 31, 2020

Notes to Financial Statements

Earnings Per Share [Text Block]

Note 8 – Earnings per Share

Basic net income (loss) per share is computed based on the weighted average number of common shares outstanding for each period presented. Diluted net income (loss) per share reflects the potential dilution that would have occurred if securities to issue common stock were exercised, converted, or resulted in the issuance of common stock that would have then shared in our earnings.

The following table summarizes the earnings (losses) and the weighted average number of common shares used in the calculation of basic and diluted earnings (loss) per share (in thousands, except for share and per share amounts):

	Three Months Ended March 31
	2020			2019
Basic:
Weighted average common shares outstanding		15,294,777			15,256,189
Net income/(loss) attributable to National HealthCare Corporation	$	(26,852	)	$	21,269
Earnings/(loss) per common share, basic	$	(1.76	)	$	1.39
Diluted:
Weighted average common shares outstanding		15,294,777			15,256,189
Effects of dilutive instruments		-			67,936
Weighted average common shares outstanding		15,294,777			15,324,125
Net income/(loss) attributable to National HealthCare Corporation	$	(26,852	)	$	21,269
Earnings/(loss) per common share, diluted	$	(1.76	)	$	1.39

The impact of potentially dilutive securities (652,208) for the three months ended March 31, 2020 were not considered because the effect would be anti-dilutive in that period. Options to purchase 8,475 shares of our common stock have been excluded for the quarter ended March 31, 2019 due to their anti–dilutive impact.