3. NET INCOME PER COMMON SHARE

Basic net income per common share is computed using the weighted-average number of shares of common stock outstanding. In periods where net income is reported, the weighted-average number of shares is increased by warrants and options in the money to calculate diluted net income per common share.

The following table represents the calculation of basic and diluted net income per common share (unaudited, in thousands, except per share data):


	Three Months Ended				Nine Months Ended
	March 31,				March 31,
	2020		2019		2020		2019
Net income	$	1,867	$	1,398	$	5,057	$	4,002
Per share information:
Earnings per share:
Basic	$	0.06	$	0.05	$	0.17	$	0.14
Diluted	$	0.06	$	0.05	$	0.16	$	0.13
Weighted-average shares used in computation:
Basic		30,662		28,426		30,580		27,993
Effect of dilutive options		1,325		1,803		1,355		1,916
Diluted		31,987		30,229		31,935		29,909

Weighted-average shares of stock options to purchase 663,821 and 302,118 shares of common stock for the three months ended March 31, 2020 and 2019, respectively, and weighted-average shares of stock options to purchase 615,649 and 222,951 shares of common stock for the nine months ended March 31, 2020 and 2019, respectively, were not included in the computation of diluted net income per common share due to their anti-dilutive effect. Such securities could have a dilutive effect in future periods.