Earnings Per Share

9 Months Ended

Sep. 30, 2020

Note 9 – Earnings Per Share

The following table sets forth the computation of basic and diluted earnings per share:

	Three Months Ended September 30				Nine Months Ended September 30
(in thousands except per share data)	2020		2019		2020		2019
Numerator:
Net income	$	17,447	$	15,269	$	43,678	$	48,532

Denominator:
Basic earnings per share:
Weighted average shares		17,746		17,726		17,746		17,720
Diluted earnings per share:
Effect of dilutive stock options and restricted stock grants		6		17		7		13
Adjusted weighted average shares		17,752		17,743		17,753		17,733

Earnings per share:
Basic earnings per share	$	0.98	$	0.86	$	2.46	$	2.74
Diluted earnings per share		0.98		0.86		2.46		2.74

Options to purchase 20,000 common shares at a weighted average price of $32.27 were excluded from the diluted calculations above for the three and nine months ended September 30, 2020, because the exercise prices on the options were greater than the average market price for the period. There were no options to purchase common shares that were excluded from the diluted calculations above for the three and nine months ended September 30, 2019. In addition to in-the-money stock options, unvested restricted stock grants were also used in the calculation of diluted earnings per share based on the treasury method.