8. INCOME (LOSS) PER SHARE

6 Months Ended

Sep. 30, 2012

Income Loss Per Share

NOTE 8 - INCOME (LOSS) PER SHARE

Income (loss) per share is calculated under two different methods, basic and diluted. Basic income per share is calculated by dividing the net income by the weighted average shares of common stock outstanding during the period. Diluted income per share is calculated by dividing the net income by the weighted average shares of common stock outstanding during the period and dilutive potential shares of common stock. Dilutive potential shares of common stock, as determined under the treasury stock method, consist of shares of common stock issuable upon exercise of stock warrants or options, net of shares of common stock assumed to be repurchased by the Company from the exercise proceeds.

Income per share for the three months ended September 30, 2012 and 2011 was computed as shown below. Stock options and warrants aggregating approximately 411 and 412 million shares were not included in the diluted calculations since they were anti-dilutive during the three months ended September 30, 2012 and 2011, respectively.

	Three months ended		Three months ended
	September 30, 2012		September 30, 2011
Numerator:
Net income attributable to
Integrated Healthcare Holdings, Inc.	$	2,582	$	506
Denominator:
Weighted average common shares		255,307		255,307
Dilutive options		1,680		1,665
Denominator for diluted calculation		256,987		256,972
Income per share - basic	$	0.01	$	0.00
Income per share - diluted	$	0.01	$	0.00

Since the Company incurred a loss for the six months ended September 30, 2012 and 2011, the potential shares of common stock consisting of approximately 413 and 414 million shares, respectively, issuable under warrants and stock options were not included in the diluted calculations since they were anti-dilutive.