NET INCOME PER SHARE

9 Months Ended

Dec. 31, 2011

NET INCOME PER SHARE [Abstract]

NET INCOME PER SHARE

NOTE 13.NET INCOME PER SHARE

Basic net income per share is computed by dividing the net income attributable to common shareholders by the weighted average number of common shares outstanding during the period.  Diluted net income per share is computed by dividing the net income attributable to common shareholders by the weighted average number of common shares that would have been outstanding during the period assuming the issuance of common shares for all potential dilutive common shares outstanding using the treasury stock method.  Dilutive potential common shares outstanding include outstanding stock options, restricted stock units and warrants.

The following is a reconciliation of the weighted average number of common shares outstanding used in calculating basic and diluted net income per share (in thousands, except share and per share data):

	Three Months Ended				Nine Months Ended
	December 31,				December 31,
	2011		2010		2011		2010
Numerator:
Net income	$	2,850	$	3,835	$	8,385	$	11,164
Denominator:
Weighted average common shares outstanding - basic		21,672,000		22,398,000		22,213,000		22,309,000
Weighted average effect of dilutive securities:
Stock options		107,000		297,000		139,000		312,000
Restricted stock units		185,000		177,000		212,000		174,000
Warrants		26,000		-		15,000		-
Weighted average common shares outstanding - diluted		21,990,000		22,872,000		22,579,000		22,795,000
Net income per share:
Basic net income per share	$	0.13	$	0.17	$	0.38	$	0.50
Diluted net income per share	$	0.13	$	0.17	$	0.37	$	0.49

Stock options are excluded from the computation of diluted weighted average shares outstanding if the exercise price of the stock options is greater than the average market price of our common stock during the period because the inclusion of these stock options would be antidilutive to net income per share.  During the three and nine months ended December 31, 2011 and 2010, there were no stock options excluded from the computation of diluted weighted average shares outstanding.

We excluded the following restricted stock units from the computation of diluted weighted average shares outstanding because the inclusion of these awards would be antidilutive to net income per share:

	Three Months Ended				Nine Months Ended
	December 31,				December 31,
	2011		2010		2011		2010
Weighted average number of shares underlying antidilutive restricted stock units		307,000		58,000		249,000		269,000