BayFirst Financial Corp. Earnings Per Share Disclosure
| Year Ended December 31, | |||||||||||
| 2024 | 2023 | ||||||||||
Basic: | |||||||||||
Income from continuing operations | $ | 12,672 | $ | 5,915 | |||||||
Loss from discontinued operations | (69) | (213) | |||||||||
Net income | 12,603 | 5,702 | |||||||||
Less: Preferred stock dividends | 1,541 | 965 | |||||||||
Net income available to common shareholders | $ | 11,062 | $ | 4,737 | |||||||
Weighted average common shares outstanding | 4,133,082 | 4,100,114 | |||||||||
Basic earnings (loss) per common share: | |||||||||||
Continuing operations | $ | 2.69 | $ | 1.21 | |||||||
Discontinued operations | (0.01) | (0.05) | |||||||||
Total | $ | 2.68 | $ | 1.16 | |||||||
Diluted: | |||||||||||
| Income from continuing operations | $ | 12,672 | $ | 5,915 | |||||||
| Loss from discontinued operations | (69) | (213) | |||||||||
Net income | 12,603 | 5,702 | |||||||||
Less: Preferred stock dividends | 1,541 | 965 | |||||||||
Add: Series B preferred stock and preferred C stock dividends | 966 | 389 | |||||||||
Net income available to common shareholders | $ | 12,028 | $ | 5,126 | |||||||
Weighted average common shares outstanding for basic earnings per common share | 4,133,082 | 4,100,114 | |||||||||
Add: Dilutive effects of conversion of Series B preferred stock and Preferred C to common stock | 455,426 | 481,099 | |||||||||
Add: Dilutive effects of assumed exercises of stock options and warrants | — | 604 | |||||||||
Average shares and dilutive potential common shares | 4,588,509 | 4,581,817 | |||||||||
Diluted earnings (loss) per common share: | |||||||||||
Continuing operations | $ | 2.64 | $ | 1.17 | |||||||
Discontinued operations | (0.02) | (0.05) | |||||||||
Total | $ | 2.62 | $ | 1.12 | |||||||
| Year Ended December 31, | |||||||||||
| 2024 | 2023 | ||||||||||
Common stock options | 365,680 | 372,892 | |||||||||
About Earnings Per Share Disclosures
The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.
Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.