NOTE 9 - EARNINGS PER SHARE

9 Months Ended

Sep. 30, 2019

Earnings Per Share [Abstract]

NOTE 9 - EARNINGS PER SHARE

Basic earnings per share is calculated based on the weighted average number of common shares outstanding during each period. Diluted earnings per share is calculated based on these same weighted average shares outstanding plus the effect of potential shares issuable upon assumed exercise of stock options based on the treasury stock method.

Potential shares issuable upon the exercise of stock options are excluded from the calculation of diluted earnings per share to the extent their effect would be anti-dilutive.

The following table sets forth the computation of basic and diluted earnings per share:

	Three Months Ended					Nine Months Ended
	September 30,2019			September 30,2018		September 30,2019			September 30,2018
(in thousands except per share data)
Numerator for basic and diluted
earnings(loss) per share:
Net income(loss)	$	(844	)	$	342	$	(691	)	$	958
Denominator for basic
earnings(loss) per share:
Weighted-average shares		8,217			8,439		8,259			8,361
Employee stock options and awards		25			68		71			155
Denominator for diluted
earnings(loss) per share:
Adjusted weighted-average shares &
assumed conversions of stock options		8,242			8,507		8,330			8,516
Basic and diluted
earnings(loss) per share:
Total basic earnings(loss) per share	$	(0.10	)	$	0.04	$	(0.08	)	$	0.11
Total diluted earnings(loss) per share	$	(0.10	)	$	0.04	$	(0.08	)	$	0.11

Weighted average options to purchase 31,063 and 30,518 shares for the three and nine month periods ending September 30, 2019 and weighted average options to purchase 25,000 shares for both the three and nine months ending September 30, 2018 were excluded from the computation of diluted earnings per share for the periods then ended because the options were anti-dilutive.