Note 2 - Earnings Per Share

6 Months Ended

Nov. 30, 2024

Notes to Financial Statements

Earnings Per Share [Text Block]

Note 2. Earnings Per Share

Basic earnings per share is based on the weighted-average effect of all common shares issued and outstanding and is calculated by dividing net income attributable to common stockholders by the weighted-average shares outstanding during the period. Diluted earnings per share is calculated by dividing net income attributable to common stockholders by the weighted-average number of common shares used in the basic earnings per share calculation plus the number of common shares that would be issued assuming exercise or conversion of all potentially dilutive common shares outstanding.

Greystone excludes equity instruments from the calculation of diluted earnings per share if the effect of including such instruments is anti-dilutive. Instruments which have an anti-dilutive effect as of November 30 are as follows:

	2024		2023
For the six and three months ended November 30
Preferred stock convertible into common stock		3,333,333		3,333,333
Warrants exercisable into common stock		500,000		-
Total		3,833,333		3,333,333

The following tables set forth the computation of basic and diluted earnings per share.

For the six months ended November 30, 2024 and 2023:

	2024			2023
Basic earnings (loss) per share of common stock
Numerator -
Net income (loss) attributable to common stockholders	$	(157,925	)	$	2,416,374
Denominator -
Weighted-average shares outstanding - basic		28,279,701			28,279,701
Income (Loss) per share of common stock - basic	$	(0.01	)	$	0.09
Diluted earnings (loss) per share of common stock:
Numerator -
Net income (loss) attributable to common stockholders	$	(157,925	)	$	2,416,374
Denominator -
Weighted-average shares outstanding - basic		28,279,701			28,279,701
Incremental shares from assumed conversion of options warrants and preferred stock, as appropriate		-			494,861
Weighted average common stock outstanding - diluted		28,279,701			28,774,562
Income (Loss) per share of common stock - diluted	$	(0.01	)	$	0.08

For the three months ended November 30, 2024 and 2023:

	2024			2023
Basic earnings (loss) per share of common stock:
Numerator -
Net income (loss) attributable to common stockholders	$	(345,297	)	$	818,354
Denominator -
Weighted-average shares outstanding - basic		28,279,701			28,279,701
Income (Loss) per share of common stock - basic	$	(0.01	)	$	0.03
Diluted earnings (loss) per share of common stock:
Numerator -
Net income (loss) attributable to common stockholders	$	(345,297	)	$	818,354
Denominator -
Weighted-average shares outstanding - basic		28,279,701			28,279,701
Incremental shares from assumed conversion of options warrants and preferred stock, as appropriate		-			495,079
Weighted average common stock outstanding - diluted		28,279,701			28,774,780
Income (Loss) per share of common stock - diluted	$	(0.01	)	$	0.03