10. Earnings Per Share

 

The following table presents a reconciliation of Net income and shares used in calculating basic and diluted net income per common share for the periods indicated:

  

Year Ended December 31,

  

2025

 

2024

Numerator for EPS:

        

Net income

 $8,447  $7,636 
         

Denominator for EPS:

        

Weighted average shares outstanding - basic

  2,873,256   2,748,186 

Dilutive effects:

        

Stock options

  31,953   79,001 

Restricted stock

  41,589   56,757 

Warrants

  279,461    

Weighted average shares outstanding - diluted

  3,226,259   2,883,944 
         

Income per common share:

        

Basic

 $2.94  $2.78 

Diluted

 $2.62  $2.65 

 

Historical Timeline

Fiscal YearFiled
2025Mar 26, 2026Showing above
2024Mar 27, 2025

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.