Quarterly report pursuant to Section 13 or 15(d)

Note 2 - Earnings per Share

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Note 2 - Earnings per Share
 6 Months Ended
Mar. 31, 2013
Earnings Per Share [Text Block]
NOTE 2 – Earnings per Share

Basic EPS is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted EPS is computed by dividing net income by the weighted average number of common shares outstanding during the period after 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 and directors.

   
Three Months Ended
March 31,
   
Six Months Ended
March 31,
 
   
2013
   
2012
   
2013
   
2012
 
Denominator:
                       
Weighted average common shares outstanding – basic
    28,389,977       27,557,587       28,361,357       27,518,587  
Net effect of dilutive securities
                               
Options
    179,595       1,133,790       178,214       1,099,817  
Warrants
    -       59,884       -       58,535  
Unvested restricted shares
    184,750       295,750       184,750       295,750  
Total net effect of dilutive securities
    364,345       1,489,424       362,964       1,454,102  
Weighted average common shares outstanding – diluted
    28,754,322       29,047,011       28,724,321       28,972,689  
Income per common share – basic
  $ 0.12     $ 0.07     $ 0.25     $ 0.17  
Income per common share – diluted
  $ 0.12     $ 0.07     $ 0.24     $ 0.16  

All the outstanding warrants and stock options were included in the computation of diluted net income per share for the three and six months ended March 31, 2013 and 2012.