Calculation of earnings per share and weighted average shares outstanding

3 Months Ended

Dec. 31, 2016

Calculation of earnings per share and weighted average shares outstanding [Abstract]

Calculation of earnings per share and weighted average shares outstanding

(6) Calculation of earnings per share and weighted average shares outstanding

Basic earnings per share is computed by dividing the net income or loss for the period by the weighted average number of shares of common stock outstanding during the period. The computation of diluted earnings per share is similar to the computation of basic earnings per share, except that the denominator is increased for the assumed exercise of dilutive options and other potentially dilutive securities, including convertible preferred stock, using the treasury stock method unless the effect is anti-dilutive. For the December 31, 2016 calculation 1,346,000 shares of common stock issuable on conversion of our Series A Convertible Preferred Stock, 81,000 shares of unvested restricted stock and 50,625 outstanding stock options were not included in the computation of diluted earnings per share because it would have been anti-dilutive for the period presented.

Basic and diluted net (loss) income per common share for the three month periods ended December 31, 2016 and January 2, 2016, is calculated as follows:

(in thousands of dollars except per share data)
	Three months ended
	December 31, 2016			January 2, 2016
Numerator:
Net (loss) income attributable to common stockholders for computing net (loss) income per ordinary share – basic	$	(2,518	)	$	11
Denominator:
Weighted average shares used in calculating net income (loss) per ordinary share – basic		5,214			3,429
Adjustment for shares issuable upon vesting of restricted stock		-			147
Weighted average shares used in calculating net (loss) income per ordinary share – diluted		5,214			3,576
Net (loss) income per ordinary share – basic	$	(0.48	)	$	0.00
Net (loss) income per ordinary share – diluted	$	(0.48	)	$	0.00