Texas Community Bancshares, Inc. Earnings Per Share Disclosure
Note 2 - Earnings Per Share
Basic earnings per share is computed by dividing the net income or loss by the weighted-average number of common shares outstanding during the period, including allocated and committed-to-be-released ESOP shares and vested restricted stock awards. Diluted earnings per share is computed using the weighted-average number of shares determined for the basic earnings per common share computation plus the dilutive effect of stock compensation using the treasury stock method.
The following table presents a reconciliation of the number of shares used in the calculation of basic and diluted earnings per common share:
| Year Ended | |||||
| December 31, | |||||
| 2025 | | 2024 | |||
Net Income (Loss) | $ | 2,842 | $ | (1,305) | ||
Weighted average shares outstanding for basic earnings per share: |
| |
| | ||
Average shares outstanding |
| 2,925,812 |
| 3,132,101 | ||
Less: average unearned ESOP shares |
| (198,600) |
| (216,699) | ||
Weighted average shares outstanding for basic earnings per share |
| 2,727,212 |
| 2,915,402 | ||
Additional dilutive shares |
| 128,247 |
| 70,613 | ||
Weighted average shares outstanding for dilutive earnings per share |
| 2,855,459 |
| 2,986,015 | ||
Basic earnings (loss) per share | $ | 1.04 | $ | (0.45) | ||
Dilutive earnings (loss) per share | $ | 1.00 | $ | (0.44) | ||
Nonvested restricted stock awards for 64,886 shares of common stock were not considered in computing diluted earnings per share for 2024, because they were antidilutive. All nonvested restricted stock awards were considered in computing diluted earnings per share for 2025, because they were dilutive. Stock options for 128,269 and 160,596 shares of common stock were not considered in computing diluted earnings per share for 2025 and 2024, because they were nonvested. Stock options for 44,630 shares of common stock have vested, however, were not considered in computing diluted earnings per share for 2024, because they were antidilutive.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 25, 2026 | Showing above |
| 2024 | Mar 27, 2025 | |
| 2023 | Mar 27, 2024 | |
| 2022 | Mar 30, 2023 | |
| 2021 | Mar 23, 2022 | |
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.