Note 4 - Income Taxes

6 Months Ended

Jun. 30, 2019

Notes to Financial Statements

Income Tax Disclosure [Text Block]

( 4 ) INCOME TAXES

The effective tax rate for the

three

-month period ended

June 30, 2019

increased to

22.1%

compared to (

1.7

)% for the same period in

2018

due to income tax benefits from the Recapitalization as a result of accelerated vesting of restricted stock and settlement of stock options of

$1.1

million, as well as additional tax benefits from the exercise of options and dividends paid to non-vested shareholders of

$800,000

in

2018.

The effective tax rate for the

six

-month period ended

June 30, 2019

increased to

19.4%

compared to

9.1%

for the same period in

2018.

The effective tax rate was higher mainly due to income tax benefits from the Recapitalization as a result of accelerated vesting of restricted stock and settlement of stock options of

$1.1

million, as well as additional tax benefits from the exercise of options and dividends paid to non-vested shareholders of

$700,000

in

2018.

This was partially offset by less non-deductible expenses of

$154,000

primarily related to the Recapitalization.