Note 9 - Earnings (Loss) Per Share Basic and Fully Diluted

12 Months Ended

Dec. 31, 2021

Notes to Financial Statements

Earnings Per Share [Text Block]

NOTE 9 – EARNINGS (LOSS) PER SHARE BASIC AND FULLY DILUTED

Basic earnings (loss) per common share is computed by dividing net income (loss) by the weighted average number of common shares outstanding during the reporting period. Diluted earnings (loss) per common share is computed similar to basic earnings (loss) per common share except that it reflects the potential dilution that could occur if dilutive securities or other obligations to issue common stock were exercised or converted into common stock. Diluted weighted average common shares include common stock potentially issuable under the Company’s convertible preferred stock, warrants and vested and unvested stock options.

For the years ended December 31, 2021, and 2020, net income (loss) is adjusted for gain (loss) from changes in the fair value of warrant liabilities.

The following table sets forth the computation of earnings (loss) per share (amounts in thousands, except share and per share amounts): 

	For the years ended
	December 31,
	2021			2020
Net income (loss) - basic	$	4,808		$	(7,187	)
Reversal of gain due to change in fair value of warrant liability		(3,545	)		-
Net income (loss) - diluted	$	1,263		$	(7,187	)
Weighted average shares outstanding - basic		203,589,531			189,844,867
Diluted stock options		168,309			-
Diluted warrants		1,912,544			-
Diluted preferred shares		32,016,491			-
Weighted average shares outstanding - diluted		237,686,875			189,844,867
Basic earnings (loss) per share	$	0.02		$	(0.04	)
Diluted earnings (loss) per share	$	0.01		$	(0.04	)

The following securities were not included in the diluted earnings (loss) per share calculation because their effect was anti-dilutive as of the periods presented (amounts in thousands):​

	For the years ended
	December 31,
	2021		2020
Options		6,955		7,503
Series A convertible preferred shares		-		55,643
Warrants		38,425		40,338
Total		45,380		103,484