Hanmi Financial Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Earnings Per Share

Earnings Per Share

3 Months Ended

Mar. 31, 2019

Earnings per share (“EPS”) is calculated on both a basic and a diluted basis. Basic EPS excludes dilution and is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted from the issuance of common stock that then shared in earnings, excluding common shares in treasury. For diluted EPS, weighted-average number of common shares included the impact of unvested restricted stock under the treasury method.

Unvested restricted stock containing rights to non-forfeitable dividends are considered participating securities prior to vesting and have been included in the earnings allocation in computing basic and diluted EPS under the two-class method.

The following table is a reconciliation of the components used to derive basic and diluted EPS for the periods indicated:



	Net Income		Weighted-Average Shares		Per Share Amount
	(Numerator)		(Denominator)		⁽¹⁾
	(in thousands, except for share and per share data)
Three Months Ended March 31, 2019
Basic EPS
Net income	$	14,672	30,667,378		$	0.48
Less: Income allocated to unvested restricted shares	79		30,667,378		—
Basic EPS	$	14,593	30,667,378		$	0.48

Effect of dilutive securities - options and unvested restricted stock			53,394

Diluted EPS
Net income	$	14,672	30,720,772		$	0.48
Less: Income allocated to unvested restricted shares	79		30,720,772		—
Diluted EPS	$	14,593	30,720,772		$	0.48

Three Months Ended March 31, 2018
Basic EPS
Net income	$	14,855	32,145,214		$	0.46
Less: Income allocated to unvested restricted shares	89		32,145,214		—
Basic EPS	$	14,766	32,145,214		$	0.46

Effect of dilutive securities - options and unvested restricted stock			155,881

Diluted EPS
Net income	$	14,855	$	32,301,095	$	0.46
Less: Income allocated to unvested restricted shares	89		32,301,095		—
Diluted EPS	$	14,766	$	32,301,095	$	0.46


⁽¹⁾	Per share amounts may not be able to be recalculated using net income and weighted-average shares presented above due to rounding.

There were no anti-dilutive options and shares of unvested restricted stock outstanding for the three months ended March 31, 2019 or 2018.