Exhibit 11
Statement of Computation of Per Share Earnings
We compute earnings per share using the two-class method in accordance with Accounting Standards Codification Topic No. 260, "Earnings Per Share." The two-class method is an allocation of earnings between the holders of common stock and a company's participating security holders. Our outstanding non-vested shares of restricted stock contain non-forfeitable rights to dividends and, therefore, are considered participating securities for purposes of computing earnings per share pursuant to the two-class method. We had no other participating securities at June 30, 2018 or 2017.
Contingently issuable shares associated with outstanding service-based restricted stock units were not included in the earnings per share calculations for the three-month and six-month periods ended June 30, 2018 and 2017 as the vesting conditions had not been satisfied.
The composition of basic and diluted earnings per share were as follows:
(Dollars in thousands, except per share amounts)
For the three months ended June 30, | For the six months ended June 30, | |||||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
Numerator: | ||||||||||||||||
Net income | $ | 6,051 | $ | 834 | $ | 41,877 | $ | 4,230 | ||||||||
Less: distributed earnings allocated to non-vested stock | - | - | - | - | ||||||||||||
Less: undistributed earnings allocated to non-vested restricted stock | (3 | ) | (1 | ) | (24 | ) | (10 | ) | ||||||||
Numerator for basic earnings per share | $ | 6,048 | $ | 833 | $ | 41,853 | $ | 4,220 | ||||||||
Effect of dilutive securities: | ||||||||||||||||
Add: undistributed earnings allocated to non-vested restricted stock | 3 | 1 | 24 | 10 | ||||||||||||
Less: undistributed earnings reallocated to non-vested restricted stock | (3 | ) | (1 | ) | (24 | ) | (10 | ) | ||||||||
Numerator for diluted earnings per share | $ | 6,048 | $ | 833 | $ | 41,853 | $ | 4,220 | ||||||||
Denominator: | ||||||||||||||||
Weighted average shares outstanding – basic | 43,716,726 | 43,665,171 | 43,716,698 | 43,641,038 | ||||||||||||
Effect of dilutive securities: | ||||||||||||||||
Stock options and other awards | 4,216 | 10,517 | 4,870 | 8,362 | ||||||||||||
Weighted average shares outstanding – diluted | 43,720,942 | 43,675,688 | 43,721,568 | 43,649,400 | ||||||||||||
Basic earnings per share | $ | 0.14 | $ | 0.02 | $ | 0.96 | $ | 0.10 | ||||||||
Diluted earnings per share | $ | 0.14 | $ | 0.02 | $ | 0.96 | $ | 0.10 |