Basic and Diluted Net Income per Share

9 Months Ended

Mar. 31, 2015

Basic and Diluted Net Income per Share [Abstract]

Basic and Diluted Net Income per Share

3. Basic and Diluted Net Income per Share

Basic net income per share is computed by dividing net income by the weighted average number of common shares outstanding during each period.  Diluted net income per share is computed by dividing net income by the weighted average number of shares including dilutive common share equivalents.  Under the treasury stock method, incremental shares representing the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued are included in the computation.  Diluted earnings per common share assumes exercise of outstanding stock options and vesting of restricted stock when the effects of such assumptions are dilutive.  Common share equivalents of 128,000 and 106,000 for the three months ended March 31, 2015 and 2014, respectively, were excluded from the calculation as their effect was antidilutive.  Common share equivalents of 100,000 and 112,000 for the nine months ended March 31, 2015 and 2014, respectively, were excluded from the calculation as their effect was antidilutive.

The following table presents a reconciliation of the numerators and denominators of basic and diluted net income per share for the periods indicated (dollars and share data in thousands, except per-share amounts):

	Three Months Ended March 31,				Nine Months Ended March 31,
	2015		2014		2015		2014
Basic and diluted earnings per share (EPS) calculation:
Net income	$	784	$	1,082	$	600	$	2,905
Basic weighted average number of shares outstanding		9,096		8,944		9,058		8,897
Effect of dilutive securities:
Restricted stock		45		129		80		164
Stock options		2		17		3		13
Diluted weighted average number of shares outstanding		9,143		9,090		9,141		9,074
Basic EPS	$	0.09	$	0.12	$	0.07	$	0.33
Diluted EPS	$	0.09	$	0.12	$	0.07	$	0.32