(in thousands except per share data)

Three Months ended

September 30,

Nine months ended

September 30,

2014

2013

2014

2013

Numerator:

Net income

$

1,857

$

1,973

$

4,263

$

1,905

Denominator:

Denominator for basic earnings per share – weighted-average shares

14,959

14,864

14,935

14,827

Effect of dilutive securities:

Equivalent shares issuable upon conversion of unvested restricted stock

185

179

231

196

Equivalent shares issuable upon conversion of unvested employee stock options

1

-

Denominator for diluted earnings per share – adjusted weighted-average shares and assumed conversions

15,145

15,043

15,166

15,023

Basic income per share:

$

0.12

$

0.13

$

0.29

$

0.13

Diluted income per share:

$

0.12

$

0.13

$

0.28

$

0.13