Note 10 - Earnings per Share

6 Months Ended

Jun. 30, 2022

Note 10 - Earnings per Share

Basic earnings per share is calculated based on the weighted average number of common shares outstanding during the period. Diluted earnings per share is determined based on the weighted average number of shares outstanding during the period combined with the incremental average shares that would have been outstanding assuming the conversion of all potentially dilutive common shares into common shares as of the earliest date possible. Potentially dilutive securities include stock options, convertible preferred stock, restricted stock, warrants, RSUs and OP units, which, subject to certain terms and conditions, may be tendered for redemption by the holder thereof for cash based on the market price of the Company’s common stock or, at the Company’s option and sole discretion, for shares of the Company’s common stock on a one-for-one basis. Stock options, convertible preferred stock, restricted stock, warrants, RSUs and OP units have been omitted from the Company’s denominator for the purpose of computing diluted earnings per share since the effect of including these amounts in the denominator would have no dilutive impact due to the net loss position. The weighted average number of anti-dilutive convertible preferred stock, restricted stock, RSUs and OP units outstanding for the three months and six months ended June 30, 2022, was approximately 4.2 million and 4.1 million, respectively, while the weighted average number of anti-dilutive convertible preferred stock, restricted stock and OP units outstanding for the three months and six months ended June 30, 2021 was 3.0 million. The Warrants are not included in the number of anti-dilutive securities as of June 30, 2022 because the closing sales price per share of our common stock as reported on the OTCQX Best Market was less than the exercise price of the Warrants.

The following table sets forth the computation of earnings per common share for the three months and six months ended June 30, 2022 and 2021:


(in thousands, except per share data)	Three Months Ended June 30,						Six Months Ended June 30,
Numerator:	2022			2021			2022			2021
Net loss	$	(2,898	)	$	(3,129	)	$	(6,088	)	$	(5,071	)
Plus: Net loss attributable to noncontrolling interest		270			399			517			664
Net loss attributable to common stockholders	$	(2,628	)	$	(2,730	)	$	(5,571	)	$	(4,407	)
Denominator
Basic weighted-average common shares		32,044			24,831			32,005			23,658
Dilutive potential common shares		—			—			—			—
Diluted weighted-average common shares		32,044			24,831			32,005			23,658

Net loss per common share- basic and diluted	$	(0.08	)	$	(0.11	)	$	(0.17	)	$	(0.19	)