Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Net Income (Loss) per Share

v3.3.1.900
Net Income (Loss) per Share
12 Months Ended
Dec. 31, 2015
Earnings Per Share [Abstract]  
Net Income (Loss) per Share

Note I – Net Income (Loss) per Share

The following table provides the computation of basic and diluted net income (loss) per share for the years ended December 31, 2015, 2014 and 2013 (in thousands, except per share amounts):

 

 

 

Year Ended December 31,

 

 

 

2015

 

 

2014

 

 

2013

 

Net income (loss)

 

$

(2,535

)

 

$

1,132

 

 

$

2,033

 

Deemed dividends on preferred stock

 

 

40

 

 

 

-

 

 

 

-

 

Amortization of preferred stock beneficial conversion feature

 

 

82

 

 

 

-

 

 

 

-

 

Net income (loss) available to common stockholders

 

$

(2,657

)

 

$

1,132

 

 

$

2,033

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic weighted average common shares outstanding

 

 

60,526

 

 

 

53,483

 

 

 

48,263

 

Effect of potentially dilutive securities

 

 

-

 

 

 

2,533

 

 

 

4,512

 

Diluted weighted average shares outstanding

 

 

60,526

 

 

 

56,016

 

 

 

52,775

 

Basic net income (loss) per share attributable to common stockholders

 

$

(0.04

)

 

$

0.02

 

 

$

0.04

 

Diluted net income (loss) per share

 

$

(0.04

)

 

$

0.02

 

 

$

0.04

 

 

We have adopted the two class method in calculating earnings per share as we have determined our preferred shares to be participating securities.  Under this method, we have included in weighted average shares outstanding all of our preferred shares as we have assumed conversion to common shares.  We have not allocated the net loss to our participating shareholders as they do not have a contractual obligation to share in losses.

 

For the year ended December 31, 2015, there were 103,000 options and no warrants excluded from the calculation of diluted earnings per share as anti-dilutive. For the year ended December 31, 2014, there were 400,000 options and no warrants excluded from the calculation of diluted earnings per share as anti-dilutive. For the year ended December 31, 2013, there were 341,000 options and no warrants excluded from the calculation of diluted earnings per share as anti-dilutive.