Earnings Per Share (Going Concern Basis)

6 Months Ended

Mar. 10, 2021

Earnings Per Share (Going Concern Basis)

Under the going concern basis of accounting, basic net income per share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding for the reporting period. Diluted net income per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. For the calculation of diluted net income per share, the basic weighted average number of shares is increased by the dilutive effect of stock options determined using the treasury stock method. Stock options excluded from the computation of net income per share for the 12 week period ended November 18, 2020 and the quarter ended and two quarters ended March 11, 2020 include 849,970 shares, 1,174,247 shares, and 1,174,247 shares respectively, with exercise prices exceeding market prices whose inclusion would also be anti-dilutive.

The components of basic and diluted net loss per share are as follows:


	Quarter Ended		Period Ended		Two Quarters Ended
	March 11, 2020		November 18, 2020		March 11, 2020
	(12 weeks)		(12 weeks)		(28 weeks)
	(In thousands, except per share data)
Numerator:
Loss from continuing operations	$	(3,797)	$	(3,003)	$	(12,124)
Loss from discontinued operations, net of income taxes	(6)		(16)		(17)
NET LOSS	$	(3,803)	$	(3,019)	$	(12,141)
Denominator:
Denominator for basic earnings per share—weighted-average shares	30,215		30,662		30,123
Effect of potentially dilutive securities:
Employee and non-employee stock options	—		—		—
Denominator for earnings per share assuming dilution	30,215		30,662		30,123

Loss per share from continuing operations:
Basic and diluted	$	(0.13)	$	(0.10)	$	(0.40)

Loss per share from discontinued operations:
Basic and diluted	$	0.00	$	0.00	$	0.00

Loss per share:
Basic and diluted	$	(0.13)	$	(0.10)	$	(0.40)