INCOME/(LOSS) PER COMMON SHARE

12 Months Ended

Mar. 31, 2023

Net Income/(Loss) per share

INCOME/(LOSS) PER COMMON SHARE

NOTE 3 – INCOME/(LOSS) PER COMMON SHARE

We calculate basic income/(loss) per share using the weighted-average number of shares of common stock outstanding during each reporting period. Diluted loss per share includes potentially dilutive securities, such as outstanding options and warrants. We use the treasury stock method, in the determination of dilutive shares outstanding during each reporting period. We have issued warrants to purchase 2,460,946 shares of common stock. Due to the loss from operations in the year ended March 31, 2023, there are no common shares added to calculate the dilutive loss per share for that period as the effect would be antidilutive. The Company excluded warrants of 2,406,946 for the year ended March 31, 2023 and warrants of 150,000 and equity incentive awards of 20,000 for the year ended March 31, 2022, from the weighted average diluted common shares outstanding because their inclusion would have been antidilutive.

	For the Year Ended March 31,
	2023			2022			2021
Numerator:
Net income/(loss)	$	(4,596,038	)	$	33,247,436		$	(7,182,294	)
Less: Preferred stock dividends		(3,105,034	)		(2,668,648	)		-
Net income/(loss) attributable to common stockholders	$	(7,701,072	)	$	30,578,788		$	(7,182,294	)
Denominator:
Weighted averaged shares of common stock - basic		117,177,885			112,328,680			55,041,502
Effect of dilutive common stock purchase warrants		-			1,861,040			-
Effect of dilutive equity incentive awards		-			-			-
		117,177,885			114,189,720			55,041,502
Basic earnings per share:
Income/(loss) per share attributable to common stockholders - basic	$	(0.07	)	$	0.27		$	(0.14	)
Diluted earnings per share:
Income/(loss) per share attributable to common stockholders - diluted	$	(0.07	)	$	0.27		$	(0.14	)

AMMO, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS