Earnings Per Share of Common Stock

9 Months Ended

Jun. 30, 2013

Earnings Per Share [Abstract]

Earnings Per Share of Common Stock

Earnings Per Share of Common Stock

Basic net income per common share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding for the period. Diluted net income per common share reflects the maximum dilution that would have resulted from the assumed exercise and share repurchase related to dilutive stock options and is computed by dividing net income by the assumed weighted average number of common shares outstanding.

We are required to present earnings per share, or EPS, utilizing the two class method because we had outstanding, non-vested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents, which are considered participating securities.

Basic and diluted earnings per share computations for the Company’s reported net income attributable to common stockholders are as follows:

	For the three months ended					For the nine months ended
	June 30, 2013			June 30, 2012		June 30, 2013		June 30, 2012
	(Amounts in thousands except per share data)
Net income (loss)	$	(478	)	$	774	$	377	$	1,677
Less: Net income (loss) attributable to nonvested common stock	(10		)	15		8		30
Net income (loss) attributable to common stockholders	$	(468	)	$	759	$	369	$	1,647
Weighted average total shares outstanding – basic	3,468			3,433		3,447		3,422
Less: weighted average non-vested shares outstanding	72			67		69		60
Weighted average number of common shares outstanding – basic	3,396			3,366		3,378		3,362
Potential common shares from non-vested stock awards and the assumed exercise of stock options	—			52		54		43
Weighted average common shares outstanding – diluted	3,396			3,418		3,432		3,405
Net income (loss) per share – basic	$	(0.14	)	$	0.23	$	0.11	$	0.49
Net income (loss) per share – diluted	$	(0.14	)	$	0.22	$	0.11	$	0.48

All anti-dilutive securities, including certain stock options, are excluded from the diluted income per share computation. For the three months ended June 30, 2013 and 2012, 173,000 and 195,000 options, respectively, were excluded from the diluted income per share calculation because their inclusion would have been anti-dilutive. For the nine months ended June 30, 2013 and 2012, 162,000 and 198,000 options, respectively, were excluded from the diluted income per share calculation because their inclusion would have been anti-dilutive.