INCOME (LOSS) PER SHARE

6 Months Ended

Mar. 31, 2018

Earnings Per Share [Abstract]

INCOME (LOSS) PER SHARE

3. INCOME (LOSS) PER SHARE

We compute basic income per share using the weighted average number of common shares outstanding. The Company has two categories of dilutive potential common shares: Series A preferred shares issued in May 2011 in connection with our registered direct offering and shares issuable upon exercise of options. We compute diluted earnings per share using the if-converted method for preferred stock and the treasury stock method for stock options, respectively.

 

The following table reconciles our computation of basic income per share to diluted income per share:

	Three Months Ended March 31,				Six Months Ended March 31,
	2018		2017		2018		2017
Basic net income per share:
Net income applicable to common shareholders	$	55	$	417	$	81	$	434
Weighted average common shares outstanding		8,245		8,148		8,245		8,128
Basic net income per share	$	0.01	$	0.05	$	0.01	$	0.05
Diluted net income per share:
Diluted net income applicable to common shareholders	$	55	$	417	$	81	$	434
Weighted average common shares outstanding		8,245		8,148		8,245		8,128
Plus: Incremental shares from assumed conversions:
Series A preferred shares		518		554		518		573
Dilutive stock options/shares		26		8		30		6
Diluted weighted average common shares outstanding		8,789		8,710		8,793		8,707
Diluted net income per share	$	0.01	$	0.05	$	0.01	$	0.05