Basic and Diluted Net Income Per Share

3 Months Ended

Sep. 30, 2014

Basic and Diluted Net Income Per Share [Abstract]

Basic and Diluted Net Income Per Share

3. Basic and Diluted Net Income Per Share

For the three months ended September 30, 2014 and 2013, common stock equivalent shares totaling 2,718,428 have been added to the weighted average common shares outstanding, assuming the shares of preferred stock were converted into shares of common stock as of the first day of each respective period, for the purpose of computing diluted earnings per share ("EPS"). For the three months ended September 30, 2014 and 2013, additional common stock equivalent shares totaling 558,810 and 392,980, respectively, were included in the calculation of diluted EPS. These additional shares are attributable to outstanding in-the-money stock options and warrants. Options to purchase 20,000 shares of the Company's common stock were excluded in the computation of diluted EPS for the three months ended September 30, 2014 as the effect of these options were anti-dilutive. Options to purchase 471,526 shares of the Company's common stock were excluded in the computation of diluted EPS for the three months ended September 30, 2013 as the effect of these options were anti-dilutive. All outstanding warrants were included in the computation of diluted EPS for the three months ended September 30, 2014 and 2013. All of these warrants expired in September 2014.