EARNINGS PER SHARE

3 Months Ended

Dec. 31, 2021

Earnings per share:

EARNINGS PER SHARE

NOTE 7 EARNINGS PER SHARE

Basic earnings per share data for each period presented is computed using the weighted average number of shares of common stock outstanding during each such period. Diluted earnings per share data is computed using the weighted average number of common and dilutive common equivalent shares outstanding during each period. Dilutive common-equivalent shares consist of shares that would be issued upon the exercise of stock options and warrants, computed using the treasury stock method. A reconciliation of basic and diluted earnings per share is as follows:

	For the Three Months Ended December 31,
	2021		2020
Numerator:
Net income	$	180,000	$	1,199,000
Denominator:
Weighted average common shares outstanding		10,061,000		9,886,000
Dilutive common share equivalents		276,000		154,000
Weighted average diluted shares outstanding		10,337,000		10,040,000
Earnings per share:
Basic	$	0.02	$	0.12
Diluted	$	0.02	$	0.12

The following securities were excluded from the calculation of diluted earnings per share in each period because their inclusion would have been anti-dilutive:

	For the Three Months Ended December 31,
	2021		2020
Options		58,000		136,000
Warrants		–		151,000
Total potentially dilutive shares		58,000		287,000