Note 8 - Basic and Diluted Net Loss Per Share

9 Months Ended

Sep. 30, 2019

Notes to Financial Statements

Earnings Per Share [Text Block]

Note

8

.

Basic and Diluted

Net

Income

(

Loss

)

p

er Share

Basic net loss per share attributable to Avalon Holdings Corporation common shareholders is computed by dividing the net loss by the weighted average number of common shares outstanding. For the

three

and

nine

months ended

September 30, 2019

and

2018,

the weighted average number of common shares outstanding was

3,875,431

and

3,803,331

,

respectively.

Diluted net income (loss) per share attributable to Avalon Holdings Corporation common shareholders is computed by dividing net income (loss) by the weighted average number of common shares outstanding plus any weighted common equivalent shares determined to be outstanding during the period using the treasury method. The weighted common equivalent shares included in the calculation are related to stock options granted by Avalon where the weighted average market price of Avalon’s common stock for the period presented is greater than the option exercise price of the stock option.

For the

three

months ended

September 30, 2019

and

2018,

the diluted weighted average number of shares outstanding was

3,892,948

and

4,048,683,

respectively. For the

nine

months ended

September 30, 2019,

the diluted per share amount reported is equal to the basic per share amount because Avalon was in a net loss position and as a result, such dilution would be considered anti-dilutive. Assuming dilution, the weighted average number of common shares outstanding for the

nine

months ended

September 30, 2019

was

3,909,706.

For the

nine

months ended

September 30, 2018,

the diluted weighted average number of shares outstanding was

3,895,129.