EARNINGS PER SHARE

9 Months Ended

Jul. 31, 2012

Earnings Per Share [Abstract]

Earnings Per Share [Text Block]

NOTE 15 - EARNINGS PER SHARE

When calculating diluted earnings per share for common stock equivalents, the Earnings per Share, FASB ASC Topic 260, requires the Company to include the potential shares that would be outstanding if all outstanding stock options or warrants were exercised. This is offset by shares the Company could repurchase using the proceeds from these hypothetical exercises to obtain the common stock equivalent.

The following reconciles the components of the EPS computation for the three months ended July 31, 2012 and 2011:

	Income		Shares		Per Share
	(Numerator)		(Denominator)		Amount
	US$				US$
For the three months ended July 31, 2012:
Net income		3,255,538
Basic EPS income available to common shareholders		3,255,538		37,239,536		0.09
Effect of dilutive securities:
Share Options		-		-		-
Share Warrants		-		-		-
Diluted EPS income available to common shareholders		3,255,538		37,239,536		0.09
For the three months ended July 31, 2011:
Net income		2,519,845
Basic EPS income available to common shareholders		2,519,845		37,239,536		0.07
Effect of dilutive securities:
Share Options				-
Share Warrants		-		234,375		-
Diluted EPS income available to common shareholders		2,519,845		37,473,911		0.07

For the three months ended July 31, 2012, warrants of 160,000 shares and option of 284,998 shares were excluded from calculation of diluted earnings, because the exercise prices exceeded the average price of the Company’s common stock. For the three months ended July 31, 2011, warrants of 160,000 shares and option of 270,000 shares were excluded from calculation of diluted earnings, because the exercise prices exceeded the average price of the Company’s common stock.

The following reconciles the components of the EPS computation for the nine months ended July 31, 2012 and 2011:

	Income		Shares		Per Share
	(Numerator)		(Denominator)		Amount
	US$				US$
For the nine months ended July 31, 2012:
Net income		23,412,891
Basic EPS income available to common shareholders		23,412,891		37,239,536		0.63
Effect of dilutive securities:
Share Options				-
Share Warrants		-		-		-
Diluted EPS income available to common shareholders		23,412,891		37,239,536		0.63
For the nine months ended July 31, 2011:
Net income		20,549,196
Basic EPS income available to common shareholders		20,549,196		37,239,536		0.55
Effect of dilutive securities:
Share Options				-
Share Warrants		-		510,051		-
Diluted EPS income available to common shareholders		20,549,196		37,749,587		0.54

For the nine months ended July 31, 2012, warrants of 160,000 shares and option of 284,998 shares were excluded from calculation of diluted earnings, because the exercise prices exceeded the average price of the Company’s common stock. For the nine months ended July 31, 2011, warrants of 160,000 shares and option of 270,000 shares were excluded from calculation of diluted earnings, because the exercise prices exceeded the average price of the Company’s common stock.