Basic and Diluted Net Income (Loss) per Share

6 Months Ended

Dec. 31, 2016

Earnings Per Share [Abstract]

Basic and Diluted Net Income (Loss) per Share

3. Basic and Diluted Net Income (Loss) per Share

Basic net income (loss) per share is computed by dividing net income (loss) by the weighted average number of common shares outstanding during each year. Diluted net income (loss) per share is computed by dividing net income (loss) 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. Common share equivalents of 267,481 and 187,332 for the three months ended December 31, 2016 and 2015, respectively, and 265,845 and 123,733 for the six months ended December 31, 2016 and 2015, respectively, were excluded from the calculation as their effect was anti-dilutive.

 

The following table presents a reconciliation of the numerators and denominators of basic and diluted net income per share for the periods indicated:

	Three Months Ended December 31,				Six Months Ended December 31,
	2016		2015		2016		2015
Basic and diluted EPS calculation:
Net income (loss)	$	(88)	$	(283)	$	(3,016)	$	2,924
Basic weighted average number of shares outstanding		9,244,590		9,161,407		9,216,967		9,137,149
Effect of dilutive securities:
Employee stock options		-		-		-		-
Restricted shares		-		-		-		63,950
Diluted weighted average number of shares outstanding		9,244,590		9,161,407		9,216,967		9,201,099
Basic EPS	$	(0.01)	$	(0.03)	$	(0.33)	$	0.32
Diluted EPS	$	(0.01)	$	(0.03)	$	(0.33)	$	0.32