Quarterly report pursuant to Section 13 or 15(d)

13. Earnings Per Share

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13. Earnings Per Share
9 Months Ended
Jun. 30, 2018
Earnings Per Share [Abstract]  
Earnings Per Share

Note 13:        Earnings Per Share

 

Net earnings per share is calculated using the weighted average number of shares of common stock outstanding during the applicable period. Basic weighted average shares of common stock outstanding do not include shares of restricted stock that have not yet vested, although such shares are included as outstanding shares in the Company’s Consolidated Balance Sheet. Diluted net earnings per share is computed using the weighted average number of common shares outstanding and if dilutive, potential common shares outstanding during the period. Potential shares of common stock consist of the additional shares of common stock issuable in respect of restricted share awards, stock options and convertible preferred stock. Preferred stock dividends are subtracted from net earnings to determine the amount available to common stockholders.

  

The following table presents the computation of basic and diluted net earnings per share:

 

    Three Months Ended June 30,     Nine Months Ended June 30,  
    2018     2017     2018     2017  
Basic                                
                                 
Net income   $ 2,077,038     $ 2,128,043     $ 5,877,866     $ 5,397,282  
Less: preferred stock dividends     (292 )     (479 )     (876 )     (1,438 )
Net income applicable to common stock   $ 2,076,746     $ 2,127,564     $ 5,876,990     $ 5,395,844  
                                 
Weighted average common shares outstanding     1,970,136       2,044,767       1,972,758       2,289,646  
                                 
Basic earnings per share   $ 1.05     $ 1.04     $ 2.98     $ 2.36  
                                 
                                 
                                 
Diluted                                
                                 
Net income applicable to common stock   $ 2,076,746     $ 2,127,564     $ 5,876,990     $ 5,395,844  
Add: preferred stock dividends     292       479       876       1,438  
Net income applicable for diluted earnings per share   $ 2,077,038     $ 2,128,043     $ 5,877,866     $ 5,397,282  
                                 
Weighted average common shares outstanding     1,962,039       2,044,767       1,983,719       2,289,646  
Add: Options     38,980       35,296       42,440       53,081  
Add: Series B Preferred Stock     1,071,200       1,071,200       1,071,200       1,071,200  
Add: Series B Preferred Stock Warrants     590,145       590,145       590,145       590,145  
Add: Series E Preferred Stock     77,840       127,840       77,840       127,840  
Assumed weighted average common shares outstanding     3,740,204       3,869,248       3,765,344       4,131,912  
                                 
Diluted earnings per share   $ 0.56     $ 0.55     $ 1.56     $ 1.31  

 

There are 121,250 and 124,168 common stock options that are anti-dilutive that are not included in the three months ended June 30, 2018 and 2017, diluted earnings per share computations, respectively. There are 121,250 and 111,668 common stock options that are anti-dilutive that are not included in the nine months ended June 30, 2018 and 2017, diluted earnings per share computations, respectively.