Earnings Per Common Share

9 Months Ended

Dec. 26, 2020

Earnings Per Common Share [Abstract]

Earnings Per Common Share

NOTE 4 – EARNINGS PER COMMON SHARE

Basic earnings per common share amounts are computed by dividing income available to common shareholders, after deducting preferred stock dividends, by the weighted average number of shares of common stock outstanding. Diluted earnings per common share amounts are calculated by dividing net income by the weighted average number of shares of common stock and common stock equivalents outstanding. Common stock equivalents represent shares issuable upon the assumed exercise of common stock options outstanding.

A reconciliation of basic and diluted earnings per common share for the quarters and nine months ended December are as follows:

	Quarter Ended				Nine Months Ended
	December 26,		December 28,		December 26,		December 28,
	2020		2019		2020		2019
	(Amounts in thousands,
	except per share data)
Numerator for earnings per common share calculation:
Net income	$	6,683	$	18,880	$	22,516	$	61,800
Less: Preferred stock dividends		(112)		(112)		(337)		(337)
Income available to common shareholders	$	6,571	$	18,768	$	22,179	$	61,463
Denominator for earnings per common share calculation:
Weighted average common shares, basic		33,307		33,274		33,296		33,234
Effect of dilutive securities:
Preferred stock		510		510		510		510
Stock options		—		165		16		196
Restricted stock		10		24		18		31
Weighted average common shares, diluted		33,827		33,973		33,840		33,971
Basic earnings per common share:	$	0.20	$	0.56	$	0.67	$	1.85
Diluted earnings per common share:	$	0.20	$	0.56	$	0.67	$	1.82

The computation of diluted earnings per common share excludes the effect of the assumed exercise of approximately 672,000 and 519,000 stock options for the quarter and nine months ended December 26, 2020, respectively, and 177,000 and 169,000 stock options for the quarter and nine months ended December 28, 2019, respectively. Such amounts were excluded as the exercise price of these stock options was greater than the average market value of our common stock for those periods, resulting in an anti-dilutive effect on diluted earnings per common share.