Note 9 - Net Income (Loss) Per Share

6 Months Ended

Jun. 30, 2022

Notes to Financial Statements

Earnings Per Share [Text Block]

NOTE 9 – Net Income (Loss) Per Share:

The Company’s basic net income per share is computed based on the weighted average number of shares of common stock outstanding for the period. Diluted net income per share includes the effect of the Company’s outstanding stock options, stock appreciation rights, unvested shares of restricted stock and unvested performance shares, if the inclusion of these items is dilutive.

The following table presents a reconciliation of basic and diluted net income per share for the three and six months ended June 30, 2022 and 2021:

	Three Months Ended June 30,					Six Months Ended June 30,
	2022			2021		2022			2021
Net income (loss) used in the computation of basic and diluted net income (loss) per share (in thousands)	$	(26,675	)	$	6,377	$	(21,445	)	$	16,855
Weighted average shares outstanding - basic		15,732,264			15,433,412		15,705,646			15,327,374
Dilutive common stock equivalents		-			654,324		-			712,231
Weighted average shares outstanding - diluted		15,732,264			16,087,736		15,705,646			16,039,605
Net income (loss) per share:
Basic	$	(1.70	)	$	0.41	$	(1.37	)	$	1.10
Diluted	$	(1.70	)	$	0.40	$	(1.37	)	$	1.05

Diluted weighted average shares outstanding excludes shares of common stock of 491,168 and 488,705 for the three and six months ended June 30, 2022, respectively, as their inclusion would have been antidilutive given the Company’s net loss.

Awards to purchase 633,408 and 145,950 shares of common stock with weighted average exercise prices of $21.85 and $25.79 per share were outstanding during the three months ended June 30, 2022 and 2021, respectively, but were not included in the computation of diluted net income per share because the awards’ exercise prices were greater than the average market price of the common shares.

Awards to purchase 524,568 and 139,075 shares of common stock with weighted average exercise prices of $22.57 and $25.77 per share were outstanding during the six months ended June 30, 2022 and 2021, respectively, but were not included in the computation of diluted net income per share because the awards’ exercise prices were greater than the average market price of the common shares.