NorthEast Community Bancorp, Inc./MD/ Earnings Per Share Disclosure
Note 5 – Earnings Per Share
The following table sets forth the computations of basic and diluted earnings per share:
| December 31, | |||||
| 2025 | | 2024 | |||
| (In Thousands, except per share data) | |||||
Net income (basic and diluted) | $ | 44,413 |
| $ | 47,074 | |
Weighted average shares issued | 14,021 | 14,043 | ||||
Less: Weighted average unearned ESOP shares | (562) | (649) | ||||
Less: Weighted average unvested restricted shares |
| (198) |
| (258) | ||
Basic weighted average shares outstanding |
| 13,261 |
| 13,136 | ||
Add: Dilutive effect of restricted stock |
| 40 |
| 65 | ||
Add: Dilutive effect of stock option |
| 358 |
| 158 | ||
Diluted weighted average shares outstanding | 13,659 | 13,359 | ||||
Net income per share | ||||||
Basic | $ | 3.35 | $ | 3.58 | ||
Diluted | $ | 3.25 | $ | 3.52 | ||
There was no anti-dilutive shares outstanding at December 31, 2025 and 2024.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 13, 2026 | Showing above |
| 2024 | Mar 14, 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.