Company: BWFG
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001505732-25-000162
Chunk: 46

Company: Bankwell Financial Group, Inc.
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 1
Chunk 46
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4,146 $(1,664)Other comprehensive income (loss) before reclassifications, net of tax2,238 357 2,595 Amounts reclassified from accumulated other comprehensive (loss) income, net of tax— (2,691)(2,691)Net other comprehensive income (loss)2,238 (2,334)(96)Balance at September 30, 2024$(3,572)$1,812 $(1,760)

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The following table provides information for the items reclassified from accumulated other comprehensive income or loss:Accumulated Other Comprehensive Income ComponentsThree Months Ended September 30,Nine Months Ended June 30,Associated Line Item in the Consolidated Statements of Income2025202420252024(In thousands)Derivatives:Unrealized gains on derivatives$103 $1,087 $902 $3,601 Interest expense on borrowingsTax expense(24)(257)(213)(908)Income tax expenseNet of tax$79 $830 $689 $2,693 

6. Earnings per share ("EPS")

Unvested restricted stock awards that contain non-forfeitable rights to dividends are participating securities and are included in the computation of EPS pursuant to the two-class method. The two-class method is an earnings allocation formula that determines EPS for each class of common stock and participating security according to dividends declared (or accumulated) and participation rights in undistributed earnings. The Company’s unvested restricted stock awards qualify as participating securities.Net income is allocated between the common stock and participating securities pursuant to the two-class method. Basic EPS is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding during the period, excluding participating unvested restricted stock awards.Diluted EPS is computed in a similar manner, except that the denominator includes the number of additional common shares that would have been outstanding if potentially dilutive common shares were issued using the treasury stock method.The following table is a reconciliation of earnings available to common shareholders and basic weighted average common shares outstanding to diluted weighted average common shares outstanding, reflecting the application of the two-class method:Three Months Ended September 30,Nine Months Ended September 30,2025202420252024(In thousands, except per share data)Net income$10,078 $1,926 $26,054 $6,807 Dividends to participating securities(1)26 (38)79 (