EARNINGS (LOSS) PER SHARE
3 Months Ended
Sep. 30, 2012
EARNINGS (LOSS) PER SHARE  
EARNINGS (LOSS) PER SHARE

 

4.                                      EARNINGS (LOSS) PER SHARE

 

Basic loss per share is computed by dividing net loss attributable to common stockholders by the weighted average number of common shares outstanding. Diluted earnings (loss) per share is computed by dividing net loss attributable to common stockholders by the weighted average number of common shares outstanding increased for potentially dilutive common shares outstanding during the period. The dilutive effect of stock options and their equivalents is calculated using the treasury stock method. Under the treasury stock method, the diluted earnings per share denominator includes the net of new shares potentially created by unexercised in-the-money warrants and options. This method assumes that the proceeds that we receive from an in-the-money option exercise would be used to repurchase common shares in the market.

 

 

 

3 Months ended
September 30,
2012

 

3 Months ended
September 30,
2011

 

Net income (loss) attributable to common shareholders

 

$

195,240

 

$

(55,312

)

 

 

 

 

 

 

Common and common equivalent shares outstanding:

 

 

 

 

 

Historical common shares outstanding at beginning of period

 

47,213,534

 

40,894,847

 

Weighted average common equivalent shares issued (retired) during the period

 

682,192

 

622,270

 

Weighted average common shares — basic

 

47,895,726

 

41,517,117

 

Dilutive potential common shares:

 

 

 

 

 

Stock options

 

646,888

 

 

Weighted average common shares and dilutive potential common shares

 

48,542,614

 

41,517,117

 

Net income (loss) per share — basic

 

$

0.00

*

$

(0.00

)*

Net income (loss) per share — diluted

 

$

0.00

*

$

(0.00

)*

 

*Less than $0.01 or (0.01) per share

 

Options and warrants to purchase common stock, totaling 27,299,193 shares as of September 30, 2011, are not considered in the calculation of weighted average common shares-diluted above, as their effect would be to lower the net loss per share and thus be anti-dilutive. Redeemable common stock is included in the common shares outstanding for purposes of calculating net loss per share.