Earnings (Loss) Per Common Share

3 Months Ended

Dec. 31, 2015

Note 8 – Earnings (Loss) Per Common Share

Basic earnings (loss) per common share is computed by dividing the net income or loss attributable to common shares by the weighted average number of common shares. Diluted earnings per common share adjusts basic earnings per share for the effects of common stock options, common stock warrants, convertible preferred stock and other potential dilutive common shares outstanding during the periods.

For purposes of computing diluted earnings per share for the three months ended December 31, 2015, no common stock options were included in the calculation of dilutive shares as all of the 58,212 common stock options outstanding had exercise prices above the applicable quarterly average market price per share and their inclusion would be anti-dilutive. For the three months ended December 31, 2014, no common share equivalents related to stock options were included in the calculation of dilutive shares, since there was a loss from continuing operations and the inclusion of common share equivalents would be anti-dilutive.

For the three months ended December 31, 2015, 27,437 shares of common stock related to restricted stock were included in the denominator used to calculate diluted earnings per share. For the three months ended December 31, 2014, no common share equivalents related to restricted stock were included in the calculation of dilutive shares, since there was a loss from continuing operations and the inclusion of common share equivalents would be anti-dilutive.

The computation of the weighted shares outstanding for the three months ended December 31 is as follows:

	December 31, 2015		December 31, 2014
Weighted average shares outstanding
Basic		16,551,197		16,300,902
Effect of dilutive securities
Stock Options		-		-
Restricted Stock		27,437		-
Dilutive Average Shares Outstanding		16,578,634		16,300,902