NOTE 17 — EARNINGS PER COMMON SHARE

The Company uses the two-class method in the calculation of basic and diluted earnings per share. Under the two-class method, earnings available to common stockholders for the period are allocated between common stockholders and participating securities according to dividends declared (or accumulated) and participation rights in undistributed earnings. The factors used in the earnings per share calculation are as follows (in thousands, except per share data):

Year Ended December 31, 

  ​ ​ ​

  ​ ​ ​

2025

  ​ ​ ​

2024

  ​ ​ ​

2023

Basic

Net income per consolidated statements of income

$

71,098

$

66,686

$

77,268

Less:  Earnings allocated to participating securities

(365)

Net income available to common stockholders

$

71,098

$

66,686

$

76,903

Weighted average common shares outstanding including participating securities

10,594,606

11,179,074

11,112,572

Less:  Weighted average participating securities

(52,462)

Weighted average common shares outstanding

10,594,606

11,179,074

11,060,110

Basic earnings per common share

$

6.71

$

5.97

6.95

Diluted

Net income allocated to common stockholders

$

71,098

$

66,686

$

76,903

Weighted average common shares outstanding for basic earnings per common share

10,594,606

11,179,074

11,060,110

Add: Dilutive effects of assumed vesting of performance based restricted stock units

28,940

69,790

Add: Dilutive effects of assumed vesting of restricted stock units

118,124

76,149

Average shares and dilutive potential common shares

10,741,670

11,255,223

11,129,900

Dilutive earnings per common share

$

6.62

$

5.93

$

6.91

For the year ended December 31, 2025, all performance based restricted stock units and restricted stock units were considered in computing diluted earnings per common share. For the year ended December 31, 2024, 42,735 of  performance based restricted stock units were not considered in the calculation of diluted earnings per share as their inclusion would be anti-dilutive. For the year ended December 31, 2023, 248,234 of restricted stock units were not considered in the calculation of diluted earnings per share as their inclusion would be anti-dilutive.

Historical Timeline

Fiscal YearFiled
2025Feb 20, 2026Showing above
2024Feb 28, 2025
2023Feb 28, 2024
2022Feb 28, 2023
2021Mar 10, 2022
2020Mar 8, 2021

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.