Earnings Per Common Share

12 Months Ended

Dec. 31, 2018

Note 17: Earnings Per Common Share

Basic earnings per common share is computed by dividing net income available for common shareholders by the weighted-average common shares outstanding. Diluted earnings per common share is computed the same as basic earnings per common share, and assumes the conversion of outstanding stock options and performance share units, convertible preferred stock and warrants, if dilutive. The following table reconciles basic and diluted earnings per common share for the years ending December 31, 2018 and 2017.


		(Dollars in Thousands)
	Year ended December 31, 2018					Year ended December 31, 2017
			Weighted					Weighted
			Average	Per Share				Average	Per Share
	Income		Shares	Amount		Income		Shares	Amount
Basic earnings per share:
Net income	$	4,819				$	4,089
Dividends on preferred stock		—					(238)
Net income available to common shareholders	$	4,819	2,535,359	$	1.90	$	3,851	2,294,271	$	1.68

Effect of dilutive securities:
Performance share units		—	11,674				—	14,161
Convertible preferred stock		—	—				238	238,838

Diluted earnings per share:
Net income available to common stockholders and assumed conversions	$	4,819	2,547,033	$	1.89	$	4,089	2,547,270	$	1.60

CITIZENS FIRST CORP 10-K