Earnings (Loss) Per Common Share

6 Months Ended

Mar. 31, 2019

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 outstanding. 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 the three and six months ended March 31, 2019 and 2018, no common share equivalents related to stock options were included in the calculation of dilutive shares, as all of the 95,602 and 160,537 common stock options outstanding, respectively, had exercise prices above the applicable period’s average market price per share and the inclusion of common share equivalents would be anti-dilutive. Additionally, for the three and six months ended March 31, 2019 and 2018, 30,000 and 40,000 shares of restricted common stock were excluded from the calculation of dilutive shares, respectively, as the effect of their inclusion would be anti-dilutive.

The computation of the weighted shares outstanding for the three months ended March 31, 2019 and 2018 is as follows:

	March 31, 2019		March 31, 2018
Weighted average shares outstanding
Basic		17,433,249		17,133,468
Effect of dilutive securities
Stock Options		-		-
Restricted Stock		-		-
Dilutive Average Shares Outstanding		17,433,249		17,133,468

The computation of the weighted shares outstanding for the six months ended March 31, 2019 and 2018 is as follows:

	March 31, 2019		March 31, 2018
Weighted average shares outstanding
Basic		17,379,113		17,090,530
Effect of dilutive securities
Stock Options		-		-
Restricted Stock		-		-
Dilutive Average Shares Outstanding		17,379,113		17,090,530