Earnings per Share

9 Months Ended

Sep. 30, 2015

(11)	Earnings per Share

Basic EPS is computed by dividing net income attributable to Federated National Holding Company common stockholders by the weighted average number of common shares outstanding during the period presented. Diluted EPS is computed by dividing net income attributable to Federated National Holding Company common stockholders by the weighted average number of shares of common stock and common stock equivalents outstanding during the period presented. The following table illustrates our computations of basic and diluted net income per common share.

	Three Months Ended September 30,				Nine Months Ended September 30,
	2015		2014		2015		2014
	(Dollars in Thousands, Except Per Share Figures)

Net income attributable to Federated National Holding Company common stockholders	$	10,593	$	7,227	$	31,611	$	27,204
Weighted average number of common shares outstanding - basic		13,749		12,625		13,710		11,563
Net income per share - basic	$	0.77	$	0.57	$	2.31	$	2.35

Weighted average number of common shares outstanding - basic		13,749		12,625		13,710		11,563
Dilutive effect of stock compensation plans		228		332		268		371
Weighted average number of common shares outstanding - diluted		13,977		12,957		13,978		11,934
Net income per share - diluted	$	0.76	$	0.56	$	2.26	$	2.28