Note I: Income (loss) per Common Share

Net income (loss) per share is computed by dividing net income (loss) by the daily weighted average number of common shares outstanding during the applicable periods. Diluted net income (loss) per share includes the potentially dilutive effect of common shares subject to outstanding stock options and restricted stock awards using the treasury stock method. Under the treasury stock method, shares subject to certain outstanding stock options and restricted stock awards have been excluded from the diluted weighted average shares outstanding calculation because the exercise of those options or the vesting of those restricted stock awards would lead to a net reduction in common shares outstanding. As a result, stock options and restricted stock awards to acquire 83,086 and 125,222 weighted common shares have been excluded from the diluted weighted shares outstanding for the three-month periods ended March 31, 2018 and 2017, respectively.

A reconciliation of net income (loss) per share is as follows (in thousands except per share data):

	Three-Month Periods Ended March 31,
	2018			2017

Numerator:
Net income (loss)	$	(17	)	$	197
Denominator:
Weighted average common shares outstanding		5,181			5,096
Dilutive potential common shares		—			—
Shares used in diluted net loss per common share calculations		5,181			5,096
Basic net income (loss) per common share	$	(0.00	)	$	0.04
Diluted net income (loss) per common share	$	(0.00	)	$	0.04