Annual report pursuant to Section 13 and 15(d)

Note 2 - Earnings per Share

v2.4.0.6
Note 2 - Earnings per Share
 12 Months Ended
Sep. 30, 2011
Earnings Per Share [Text Block]
Note 2.             Earnings per Share

Basic EPS is computed by dividing net income attributable to common stockholders by the weighted average number of common shares outstanding for the period. In the diluted earnings per share calculation, the numerator is the sum of net income attributable to common stockholders and preferred dividends. Diluted EPS is computed giving effect to all dilutive potential common shares that were outstanding during the period.  Dilutive potential common shares consist of the incremental common shares issuable upon the exercise of stock options and warrants and unvested shares granted to employees.

   
Year Ended September 30,
 
Denominator
 
2011
   
2010
   
2009
 
         Weighted average common shares outstanding - basic
    27,287,342       26,981,275       25,651,915  
Net effect of dilutive securities:
                       
          Options
    1,243,222       1,292,919       1,405,169  
          Warrants
    59,197       60,947       526,566  
          Unvested restricted shares
    381,250       210,250       223,182  
Total net effect of dilutive securities
    1,683,669       1,564,116       2,154,917  
         Weighted average common shares outstanding - diluted
    28,971,011       28,545,391       27,806,832  
Income per common share – basic
  $ 0.20     $ 0.25     $ 0.25  
Income per common share – diluted
  $ 0.19     $ 0.24     $ 0.24  

All the outstanding warrants and stock options were included in the computation of diluted net income per share for the years ended September 30, 2011, 2010 and 2009.