Note 9 - (Loss) Earnings Per Share Applicable to Common Stockholders

9 Months Ended

Sep. 30, 2023

Notes to Financial Statements

Earnings Per Share [Text Block]

NOTE 9 – (LOSS) EARNINGS PER SHARE APPLICABLE TO COMMON STOCKHOLDERS

Basic (loss) earnings per common share is computed by dividing net income by the weighted average number of common shares outstanding during the reporting period. Diluted (loss) earnings per common share is computed similar to basic earnings (loss) per common share except that it reflects the potential dilution that could occur if dilutive securities or other obligations to issue common stock were exercised or converted into common stock. Diluted weighted average common shares include common stock potentially issuable under the Company’s convertible preferred stock, warrants and vested and unvested stock options.

For the three and nine months ended September 30, 2023, net income is adjusted for gain from change in fair value of warrant liabilities.

The following table sets forth the computation of (loss) earnings per share (amounts in thousands, except share and per share amounts):

	For the three months ended						For the nine months ended
	September 30,						September 30,
	2023			2022			2023			2022
Net income (loss) - basic	$	(708	)	$	241		$	(2,066	)	$	311
Reversal of gain due to change in fair value of warrant liability		-			(246	)		-			(598	)
Net loss - diluted	$	(708	)	$	(5	)	$	(2,066	)	$	(287	)
Weighted average shares outstanding - basic		216,715,553			212,823,575			215,569,818			211,967,458
Diluted preferred shares		-			31,268,169			-			31,268,170
Weighted average shares outstanding - diluted		216,715,553			244,091,744			215,569,818			243,235,628
Basic earnings (loss) per share	$	0.00		$	0.00		$	(0.01	)	$	0.00
Diluted earnings (loss) per share	$	0.00		$	0.00		$	(0.01	)	$	0.00

The following securities were not included in the diluted net income (loss) per share calculation because their effect was anti-dilutive as of the periods presented (in thousands):

	For the nine months ended
	September 30,
	2023		2022
Options		5,772		6,043
Warrants		40,338		40,338
Series A convertible preferred shares		28,926		-
Total		75,036		46,381