Note 28 - Earnings per share

6 Months Ended

Jun. 30, 2012

Earnings Per Share [Text Block]

28.   Earnings per share

Basic and diluted earnings per share for each of the periods presented are calculated as follows (All amounts, except number of shares and per share data, are presented in thousands of US dollars):

	Six months ended June 30,				Three months ended June 30,
	2012		2011		2012		2011
	US$(’000)		US$(’000)		US$(’000)		US$(’000)
	(Unaudited)				(Unaudited)
	(Amount in thousands except for the number of shares and per share data)				(Amount in thousands except for the number of shares and per share data)
Net income attributable to ChinaNet Online Holdings, Inc. (numerator for diluted earnings per share)	$	529	$	5,806	$	895	$	2,994
Less: Dividend for Series A convertible preferred stock		-		322		-		153
Net income attributable to common shareholders of ChinaNet Online Holdings, Inc. (numerator for basic earnings per share)		529		5,484		895		2,841
Weighted average number of common shares outstanding - Basic		22,184,562		17,387,336		22,186,540		17,528,785
Effect of diluted securities:
Series A Convertible preferred stock		-		2,592,584		-		2,451,135
Warrants		-		430,804		-		26,042
Weighted average number of common shares outstanding -Diluted		22,184,562		20,410,724		22,186,540		20,005,962
Earnings per share-Basic	$	0.02	$	0.32	$	0.04	$	0.16
Earnings per share-Diluted	$	0.02	$	0.28	$	0.04	$	0.15

For the six and three months ended June 30, 2012, the diluted earnings per share calculation did not include the warrants and options to purchase up to 3,005,456 and 939,440 shares of common stock, respectively, because their effect was anti-dilutive.

For the six June 30, 2011, the diluted earnings per share calculation did not include the warrants and options to purchase up to 2,237,960 and 54,000 shares of common stock, respectively, because their effect was anti-dilutive.

For the three months ended June 30, 2011, the diluted earnings per share calculation did not include the warrants and options to purchase up to 4,451,328 and 54,000 shares of common stock, respectively, because their effect was anti-dilutive.