BASIC AND DILUTED NET EARNINGS PER SHARE

9 Months Ended

Mar. 31, 2024

Net (loss) income per common share

BASIC AND DILUTED NET EARNINGS PER SHARE

NOTE 3. BASIC AND DILUTED NET EARNINGS PER SHARE

Basic net income per share is based upon the weighted average number of common shares outstanding. This calculation includes the weighted average number of Series B Convertible Preferred shares outstanding also, as they are deemed to be substantially similar to the common shares and shareholders are entitled to the same liquidation and dividend rights. Diluted net income per share is based on the assumption that all dilutive convertible shares and stock options were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, options and warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby were used to purchase common stock at the average market price during the period.

For the three and nine-months ended March 31, 2024, the Company excluded 1,312,198 common stock equivalents from the diluted earnings per share calculation as their effect would be anti-dilutive. For the three and nine months ended March 31, 2023, the Company excluded 364,196 common stock equivalents from the diluted earnings per share calculation as their effect would be anti-dilutive.

Basic and diluted net income per share reflects the effects of shares potentially issuable upon conversion of convertible preferred stock.

The components of basic and diluted earnings per share were as follows (in thousands, except per share data):

	Three Months Ended  March 31, 2024								Three Months Ended  March 31, 2023
	Net (Loss) Income			Shares		Per Share			Net Income		Shares		Per Share
Basic net (loss) income per share:
Net (loss) income available to common shareholders	$	(516	)		39,414	$	(0.01	)	$	149		39,384	$	0.00
Net (loss) income available to preferred shareholders		(13	)		987	$	(0.01	)		4		987	$	0.00
Basic net (loss) income per share	$	(529	)		40,401	$	(0.01	)	$	153		40,371	$	0.00
Diluted net (loss) income per share:
Net (loss) income available to common shareholders, basic	$	(516	)		39,414				$	149		39,383
Impact of dilutive securities		-			-					-		68
Net (loss) income available to common shareholders, diluted		(516	)		39,414	$	(0.01	)		149		39,451	$	0.00
Net (loss) income available to preferred shareholders		(13	)		987	$	(0.01	)		4		987	$	0.00
Diluted net (loss) income per share	$	(529	)		40,401	$	(0.01	)	$	153		40,438	$	0.00

	Nine Months Ended March 31, 2024								Nine Months Ended March 31, 2023
	Net (Loss) Income			Shares		Per Share			Net Income		Shares		Per Share
Basic net (loss) income per share:
Net (loss) income available to common shareholders	$	(2,158	)		39,414	$	(0.05	)	$	812		39,384	$	0.02
Net (loss) income available to preferred shareholders		(54)			987	$	(0.05	)		20		987	$	0.02
Basic net (loss) income per share	$	(2,212	)		40,401	$	(0.05	)	$	832		40,371	$	0.02
Diluted net (loss) income per share:
Net (loss) income available to common shareholders, basic	$	(2,158	)		39,414				$	811		39,384
Impact of dilutive securities		-			-					1		31
Net (loss) income available to common shareholders, diluted		(2,158	)		39,414	$	(0.05	)		812		39,415	$	0.02
Net (loss) income available to preferred shareholders		(54	)		987	$	(0.05	)		20		987	$	0.02
Diluted net (loss) income per share	$	(2,212	)		40,401	$	(0.05	)	$	832		40,402	$	0.02