11. Earnings Per Share

6 Months Ended

Mar. 31, 2017

Earnings Per Share [Abstract]

Earnings Per Share

Net earnings per share is calculated using the weighted average number of shares of common stock outstanding during the applicable period. Basic weighted average common shares outstanding do not include shares of restricted stock that have not yet vested, although such shares are included as outstanding shares in the Company’s Consolidated Balance Sheet. Diluted net earnings per share is computed using the weighted average number of common shares outstanding and if dilutive, potential common shares outstanding during the period. Potential common shares consist of the additional common shares issuable in respect of restricted share awards, stock options and convertible preferred stock. Preferred stock dividends are subtracted from net earnings to determine the amount available to common stockholders.

The following table presents the computation of basic and diluted net earnings per share:

	Three Months Ended March 31,						Six Months Ended March 31,
	2017			2016			2017			2016
Basic
Net income attributed to Live Ventures Incorporated	$	1,840,666		$	1,218,508		$	3,269,239		$	1,394,656
Less: preferred stock dividends		(480	)		(479	)		(959	)		(959	)
Net income applicable to common stock	$	1,840,186		$	1,218,029		$	3,268,280		$	1,393,697
Weighted average common shares outstanding		2,058,064			2,815,951			2,029,023			2,816,734
Basic earnings per share	$	0.89		$	0.43		$	1.61		$	0.49
Diluted
Net income applicable to common stock	$	1,840,186		$	1,218,029		$	3,268,280		$	1,393,697
Add: preferred stock dividends		480			479			959			959
Net income applicable for diluted earnings per share	$	1,840,666		$	1,218,508		$	3,269,239		$	1,394,656
Weighted average common shares outstanding		2,058,064			2,815,951			2,029,023			2,816,734
Add: Options		69,979			16,319			56,458			19,184
Add: Common Stock Warrants		–			305,528			–			325,954
Add: Series B Preferred Stock		1,071,200			–			1,071,200			–
Add: Series B Preferred Stock Warrants		590,145			–			590,145			–
Add: Series E Preferred Stock		127,840			127,840			127,840			127,840
Assumed weighted average common shares outstanding		3,917,228			3,265,638			3,874,666			3,289,712
Diluted earnings per share	$	0.47		$	0.37		$	0.84		$	0.42

There are 20,000 common stock options that are anti-dilutive that are not included in the three month and six months ended March 31, 2017 diluted earnings per share computations.