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 period. 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 outstanding during each period. 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. Due to the loss from continuing operations for all periods presented, common share equivalents of 315,771 and 267,481 for the three months ended December 31, 2017 and 2016, respectively, and common share equivalents of 322,570 and 265,845 for the six months ended December 31, 2017 and 2016, 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,
	2017		2016		2017		2016

Loss from continuing operations	$	(2,840)	$	(1,485)	$	(4,218)	$	(2,966)
Income (loss) from discontinued operations, net of income taxes		22,728		1,397		23,096		(50)
Net income (loss)	$	19,888	$	(88)	$	18,878	$	(3,016)

Basic and diluted EPS:
Basic and diluted weighted average shares outstanding		9,436,845		9,224,590		9,414,521		9,216,967
Basic and diluted earnings (loss) per share:
Continuing operations	$	(0.30)	$	(0.16)	$	(0.45)	$	(0.32)
Discontinued operations		2.41		0.15	$	2.45		(0.01)
Net income (loss)	$	2.11	$	(0.01)	$	2.00	$	(0.33)