Calculation of earnings per share and weighted average shares outstanding

9 Months Ended

Jul. 02, 2016

Calculation of earnings per share and weighted average shares outstanding [Abstract]

Calculation of earnings per share and weighted average shares outstanding

(6) Calculation of earnings per share and weighted average shares outstanding

Basic earnings per share is computed by dividing the net income or loss for the period by the weighted average number of shares of common stock outstanding during the period. The computation of diluted earnings per share is similar to the computation of basic earnings per share, except that the denominator is increased for the assumed exercise of dilutive options and other potentially dilutive securities, including convertible preferred stock, using the treasury stock method, unless the effect is anti-dilutive.

Basic and diluted net income per common share for the three and nine month periods ended July 2, 2016 and July 4, 2015 were calculated as follows:

	(in thousands of dollars except per share data)
	Three months ended					Nine months ended
	July 2, 2016			July 4, 2015		July 2, 2016			July 4, 2015
Numerator:
Net income (loss) attributable to common stockholders for computing net income (loss) per ordinary share – basic	$	(1,538	)	$	171	$	(3,221	)	$	881
Dividend eliminated upon assumed conversion of convertible preferred stock		-			-		-			335
Net income (loss) attributable to common stockholders for computing net income (loss) per ordinary share – diluted	$	(1,538	)	$	171	$	(3,221	)	$	1,216
Denominator:
Weighted average shares used in calculating net income (loss) per ordinary share – basic		4,070			3,486		3,828			3,459
Adjustment for assumed conversion of convertible preferred stock		-			-		-			1,374
Adjustment for shares issuable upon vesting of restricted stock		-			91		-			80
Weighted average shares used in calculating net income (loss) per ordinary share – diluted		4,070			3,577		3,828			4,913
Net income (loss) per ordinary share – basic	$	(0.38	)	$	0.04	$	(0.84	)	$	0.25
Net income (loss) per ordinary share – diluted	$	(0.38	)	$	0.04	$	(0.84	)	$	0.25
No. of shares of convertible preferred stock that are anti-dilutive excluded from calculation of common stock equivalents		1,347			1,357		1,353			-