Earnings Per Share

9 Months Ended

Sep. 30, 2015

13. Earnings Per Share

We use the two-class method of calculating earnings per share (which we refer to as “EPS”) as our non-vested restricted stock awards have non-forfeitable rights to dividends and, accordingly, represent a participating security. The two-class method is an earnings allocation method under which EPS is calculated for each class of common stock and participating security considering both dividends declared (or accumulated) and participation rights in undistributed earnings as if all such earnings had been distributed during the period.

The following table sets forth the computation of basic and diluted EPS for the three and nine months ended September 30, 2015 and 2014 (in thousands, except share and per share information):


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2015		2014		2015		2014
Numerator
Net income	$	10,583	$	4,127	$	26,732	$	12,834
Less: Undistributed earnings allocated to participating securities		(358)		(70)		(890)		(179)
Net income allocable to common stockholders	$	10,225	$	4,057	$	25,842	$	12,655
Denominator
Weighted average common shares outstanding - basic and diluted:		20,601,218		21,133,708		20,556,146		18,635,986
Earnings per share:
Basic and diluted	$	0.50	$	0.19	$	1.26	$	0.68