EARNINGS PER SHARE

6 Months Ended

Jun. 30, 2021

EARNINGS PER SHARE

EARNINGS PER SHARE

NOTE 4. EARNINGS PER SHARE

Basic earnings per share is computed by dividing reported net earnings by the weighted-average number of common shares outstanding during the period. Diluted earnings per share reflect the additional dilution for all potentially dilutive securities such as stock options. The following is a reconciliation of the number of shares (denominator) used in the basic and diluted earnings per share computations (shares in thousands):

	Three months ended June 30,
	2021			2020
		Per Share			Per Share
	Shares	Amount		Shares	Amount
Basic	18,595	$	0.98	18,181	$	(0.24)
Effect of dilutive stock options	870		(0.05)	—		—
Diluted	19,465	$	0.93	18,181	$	(0.24)

	Six months ended June 30,
	2021			2020
		Per Share			Per Share
	Shares	Amount		Shares	Amount
Basic	18,538	$	1.42	18,169	$	(0.13)
Effect of dilutive stock options	843		(0.06)	—		—
Diluted	19,381	$	1.36	18,169	$	(0.13)

Excluded from the computation of diluted earnings per share are options where the exercise prices are greater than the market price as their effects would be anti-dilutive in the computation of diluted earnings per share. For the three months ended June 30, 2021 and 2020, options for approximately 235 thousand and 1,122 thousand shares, respectively, were excluded from the computation. For the six months ended June 30, 2021 and 2020, options for approximately 199 thousand and 1,085 thousand shares, respectively, were excluded from the computation.