Net Income (Loss) per Share

12 Months Ended

Dec. 31, 2015

Earnings Per Share [Abstract]

Net Income (Loss) per Share

Note I – Net Income (Loss) per Share

The following table provides the computation of basic and diluted net income (loss) per share for the years ended December 31, 2015, 2014 and 2013 (in thousands, except per share amounts):

	Year Ended December 31,
	2015			2014		2013
Net income (loss)	$	(2,535	)	$	1,132	$	2,033
Deemed dividends on preferred stock		40			-		-
Amortization of preferred stock beneficial conversion feature		82			-		-
Net income (loss) available to common stockholders	$	(2,657	)	$	1,132	$	2,033
Basic weighted average common shares outstanding		60,526			53,483		48,263
Effect of potentially dilutive securities		-			2,533		4,512
Diluted weighted average shares outstanding		60,526			56,016		52,775
Basic net income (loss) per share attributable to common stockholders	$	(0.04	)	$	0.02	$	0.04
Diluted net income (loss) per share	$	(0.04	)	$	0.02	$	0.04

We have adopted the two class method in calculating earnings per share as we have determined our preferred shares to be participating securities.  Under this method, we have included in weighted average shares outstanding all of our preferred shares as we have assumed conversion to common shares.  We have not allocated the net loss to our participating shareholders as they do not have a contractual obligation to share in losses.

For the year ended December 31, 2015, there were 103,000 options and no warrants excluded from the calculation of diluted earnings per share as anti-dilutive. For the year ended December 31, 2014, there were 400,000 options and no warrants excluded from the calculation of diluted earnings per share as anti-dilutive. For the year ended December 31, 2013, there were 341,000 options and no warrants excluded from the calculation of diluted earnings per share as anti-dilutive.