12.	EARNINGS PER SHARE

Basic earnings per share is computed on the basis of the weighted average number of common shares outstanding. Diluted earnings per share is computed on the basis of the weighted average number of common shares outstanding plus the potentially dilutive effect of outstanding stock options using the “treasury stock” method.

Reconciliations between the numerator and the denominator of the basic and diluted income (loss) per share computations for the

three

and

nine

months ended

December 31, 2019

and

2018

are as follows:

	Three Months Ended Dec ember 3 1 , 2019
	Net Income		Shares		Per Share
	(Numerator)		(Denominator)		Amount
	(in thousands)
Basic income per share	$	171		5,957	$	0.03
Effective dilutive securities – restricted stock units		—		5		—
Diluted income per share	$	171		5,962	$	0.03

	Three Months Ended Dec ember 3 1 , 2018
	Net Income		Shares		Per Share
	(Numerator)		(Denominator)		Amount
	(in thousands)

Basic income per share	$	288		5,836	$	0.05
Effect of dilutive securities – common stock options and restricted stock units		—		26		—
Diluted income per share	$	288		5,862	$	0.05

	Nine Months Ended Dec ember 31, 2019
	Net Income		Shares		Per Share
	(Numerator)		(Denominator)		Amount
	(in thousands)
Basic income per share	$	266		5,946	$	0.04
Effective dilutive securities – common stock options and restricted stock units		—		3		—
Diluted income per share	$	266		5,949	$	0.04

	Nine Months Ended Dec ember 31, 2018
	Net Loss			Shares		Per Share
	(Numerator)			(Denominator)		Amount
	(in thousands)

Basic and diluted loss per share	$	(2,123	)		5,809	$	(0.37	)

Basic and diluted per share amounts are the same in periods of a net loss, because common share equivalents are anti-dilutive when a net loss is recorded. Diluted earnings per share does

not

include the impact of common stock options totaling

75,000

for the

nine

months ended

December 31, 2018,

as the effect of their inclusion would be anti-dilutive. Restricted stock units become dilutive within the period granted and remain dilutive until the units vest and are issued as common stock. Diluted earnings per share does

not

include the impact of restricted stock units totaling

21,000

for the

nine

months ended

December 31, 2018,

as the effect of their inclusion would be anti-dilutive.