EARNINGS PER SHARE

6 Months Ended

Sep. 30, 2020

EARNINGS PER SHARE

EARNINGS PER SHARE

NOTE 6 - EARNINGS PER SHARE

Basic earnings per share is computed by dividing reported earnings available to stockholders by the weighted average number of shares outstanding. Diluted earnings per share includes the effect of stock options that would be dilutive. The following table provides a reconciliation of the numerators and denominators reflected in the basic and diluted earnings per share computations, as required under FASB ASC 260.

	Three months		Three months		Six months		Six months
	ended		ended		ended		ended
	September 30,		September 30,		September 30,		September 30,
	2020		2019		2020		2019
Basic EPS:
Net income (loss)	$	270,764	$	(291,021)	$	154,530	$	(70,244)
Weighted average shares		29,431,629		29,254,594		29,395,791		29,254,048
Basic income (loss) per share	$	0.01	$	(0.01)	$	0.01	$	(0.00)
Diluted EPS:
Net income (loss)	$	270,764	$	(291,021)	$	154,530	$	(70,244)
Dilutive effect of stock options		1,555,604		—		1,606,339		—
Diluted weighted average shares		30,987,233		29,254,594		31,002,130		29,254,048
Diluted income (loss) per share	$	0.01	$	(0.01)	$	0.01	$	(0.00)

All potential common stock equivalents that have an anti-dilutive effect (i.e. those that increase income per share or decrease loss per share) are excluded from the calculation of diluted earnings per share. For the three and six months ended September 30, 2020 there were 96,000 of potential common stock equivalents that were out-of-the-money and not included in the above earnings per share calculations. For the three and six months ended September 30, 2019, there were 2,968,000 of potentially anti-dilutive stock options, none of which were included in the EPS calculations above.