Earnings Per Share
 12 Months Ended
Apr. 30, 2020
Earnings per share:  
Earnings Per Share

NOTE 4 – EARNINGS PER SHARE

 

We calculate basic earnings per share by dividing net earnings available to common shareholders by the weighted average number of common shares outstanding during the reporting period. Diluted earnings per share is calculated similarly but reflects the potential impact of outstanding convertible preferred stock, stock warrants and other commitments to issue common stock, including shares issuable upon the conversion of convertible notes, except where the impact would be anti-dilutive. The calculation of diluted earnings per share also reflects an adjustment to earnings for the potential interest expense savings, net of applicable income tax, that would result if the Company’s convertible notes were converted at the beginning of the reporting period.

  

The following table sets forth the computations of basic and diluted earnings (loss) per share for the periods indicated:

 

    Fiscal Year Ended April 30,  
    2020     2019  
Net earnings   $ 2,788,605     $ 21,423,337  
After-tax interest expense adjustment     37,414       279,950  
Net earnings, if-converted basis   $ 2,826,019     $ 21,703,287  
Weighted average basic shares     131,472,281       80,487,890  
Dilutive securities:                
Convertible preferred stock     46,125,389       90,914,381  
Convertible notes     39,993,730       63,195,608  
Stock options and warrants     22,232,572       5,212,360  
Weighted average diluted shares     239,823,972       239,810,239  
Earnings per share:                
Basic   $ 0.02     $ 0.27  
Diluted   $ 0.01     $ 0.09