Note 9 - Net Income Per Share

6 Months Ended

Jun. 30, 2023

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, nonvested shares of restricted stock and nonvested 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 periods presented:

	Three Months Ended June 30,					Six Months Ended June 30,
	2023		2022			2023		2022
Net income (loss) used in the computation of basic and diluted net income (loss) per share (in thousands)	$	1,213	$	(26,675	)	$	2,101	$	(21,445	)
Weighted average shares outstanding - basic		15,987,007		15,732,264			15,935,001		15,705,646
Dilutive common stock equivalents		137,809		-			186,572		-
Weighted average shares outstanding - diluted		16,124,816		15,732,264			16,121,573		15,705,646
Net income (loss) per share:
Basic	$	0.08	$	(1.70	)	$	0.13	$	(1.37	)
Diluted	$	0.08	$	(1.70	)	$	0.13	$	(1.37	)

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 1,268,882 and 633,408 shares of common stock with weighted average exercise prices of $15.19 and $21.85 per share were outstanding during the three months ended June 30, 2023 and 2022, respectively, but were not included in the computation of diluted net income (loss) per share because the awards’ exercise prices were greater than the average market price of the common shares.

Awards to purchase 1,138,927 and 524,568 shares of common stock with weighted average exercise prices of $16.11 and $22.57 per share were outstanding during the six months ended June 30, 2023 and 2022, respectively, but were not included in the computation of diluted net income (loss) per share because the awards’ exercise prices were greater than the average market price of the common shares.