Note 10 - Per Share Data

3 Months Ended

Mar. 31, 2020

Notes to Financial Statements

Earnings Per Share [Text Block]

10

.

Per Share Data

The Company computes, presents and discloses earnings per share in accordance with the authoritative guidance which specifies the computation, presentation and disclosure requirements for earnings per share of entities with publicly held common stock or potential common stock. The objective of basic EPS is to measure the performance of an entity over the reporting period by dividing income (loss) by the weighted average shares outstanding. The objective of diluted EPS is consistent with that of basic EPS, except that it also gives effect to all potentially dilutive common shares outstanding during the period.

The following is a reconciliation of the basic and diluted loss per share computation: 

	Three Months Ended March 31,
	2020			2019
Net (loss)/income for basic earnings per share	$	(8,897,529	)	$	1,629,777
Less: Change in fair value of warrants		—			(3,136,265	)
Net (loss)/income, adjusted for change in fair value of warrants for diluted earnings per share	$	(8,897,529	)	$	(1,506,488	)
Weighted-average shares		81,240,105			80,913,320
Effect of potential common shares		—			1,225,788
Weighted-average shares: diluted		81,240,105			82,139,108
(Loss)/income per share: basic	$	(0.11	)	$	0.02
(Loss) per share: diluted	$	(0.11	)	$	(0.02	)

For the

three

months ended

March 31, 2019

, the diluted earnings per share calculation reflects the effect of the assumed exercise of outstanding warrants and any corresponding elimination of the impact included in operating results from the change in fair value of the warrants. Weighted-average diluted shares include the dilutive effect of warrants. The dilutive effect of warrants is calculated based on the average share price for each fiscal period using the treasury stock method.

The Company incurred losses for the 

three

months ended

March 31, 2020

and losses adjusted for the change in the fair value of warrants for the 

three

months ended

March 31, 2019

. As a result, the equity instruments listed below were excluded from the calculation of diluted income (loss) per share as the effect of the exercise, conversion or vesting of such instruments would be anti-dilutive. The weighted average number of equity instruments excluded consisted of:

	Three Months Ended March 31,
	2020		2019
Stock options		280,835		377,011
Stock-settled stock appreciation rights		—		6,756
Restricted stock units		236,848		509,411
Warrants		1,547,296		—

The appreciation of each stock-settled stock appreciation right was capped at a determined maximum value. As a result, the weighted average number shown in the table above for stock-settled stock appreciation rights reflected the weighted average maximum number of shares that could be issued.