12. Earnings Per Share
Basic income per share is calculated by dividing income available to common stockholders by the weighted average number of shares of common stock outstanding for the period. The weighted average common shares outstanding include shares allocated to the Employee Stock Ownership Plan.
Diluted income per share is calculated by adjusting the weighted average common shares outstanding to reflect the potential dilution that could occur using the treasury stock method if securities or other contracts to issue common stock, such as stock options and unvested restricted stock, were exercised and converted into common stock. The resulting shares issued would share in the earnings of the Company. Shares issued and shares reacquired during the period are weighted for the portion of the period that they were outstanding. In periods of loss, dilution is not calculated and diluted loss per share is equal to basic loss per share. As there were no stock options of grants outstanding at September 30, 2021 or September 30, 2020, there is no calculated dilution to the Company’s earnings per share.
The following table presents a calculation of basic and diluted earnings per share for the year ended September 30, 2021 and 2020. As a result of the second-step conversion, the number of shares for the year ended September 30, 2020 were adjusted to reflect the 1.2213 exchange ratio for comparative purposes.
For the Years Ended September 30, | ||||||||||||||||||||||||
2021 | 2020 | |||||||||||||||||||||||
Weighted | Per | Weighted | Per | |||||||||||||||||||||
average | share | average | share | |||||||||||||||||||||
Income | shares | Amount | Income | shares | Amount | |||||||||||||||||||
(In thousands, except share and per share data) | ||||||||||||||||||||||||
Basic and diluted EPS | ||||||||||||||||||||||||
Net income available to weighted average common shareholders | $ | 6,120 | 6,037,499 | $ | 1.01 | $ | 2,190 | 7,104,889 | $ | 0.31 | ||||||||||||||
The above information was disclosed in a filing to the SEC. To see the filing, click here.
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