Quarterly report pursuant to Section 13 or 15(d)

11. Earnings Per Share

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11. Earnings Per Share
9 Months Ended
Jun. 30, 2017
Earnings Per Share [Abstract]  
Earnings Per Share

Net earnings per share is calculated using the weighted average number of shares of common stock outstanding during the applicable period. Basic weighted average shares of common stock outstanding do not include shares of restricted stock that have not yet vested, although such shares are included as outstanding shares in the Company’s Consolidated Balance Sheet. Diluted net earnings per share is computed using the weighted average number of common shares outstanding and if dilutive, potential common shares outstanding during the period. Potential shares of common stock consist of the additional shares of common stock issuable in respect of restricted share awards, stock options and convertible preferred stock. Preferred stock dividends are subtracted from net earnings to determine the amount available to common stockholders.

 

The following table presents the computation of basic and diluted net earnings per share:

 

    Three Months Ended June 30,     Nine Months Ended June 30,  
    2017     2016     2017     2016  
Basic                        
                         
Net income attributed to Live Ventures Incorporated   $ 2,128,043     $ 13,368,197     $ 5,397,282     $ 14,762,853  
Less: preferred stock dividends     (479 )     (479 )     (1,438 )     (1,438 )
Net income applicable to common stock   $ 2,127,564     $ 13,367,718     $ 5,395,844     $ 14,761,415  
                                 
Weighted average common shares outstanding     2,044,767       2,806,060       2,289,646       2,813,192  
                                 
Basic earnings per share   $ 1.04     $ 4.76     $ 2.36     $ 5.25  
                                 
                                 
                                 
Diluted                                
                                 
Net income (loss) applicable to common stock   $ 2,127,564     $ 13,367,718     $ 5,395,844     $ 14,761,415  
Add: preferred stock dividends     479       479       1,438       1,438  
Net income applicable for diluted earnings per share   $ 2,128,043     $ 13,368,197     $ 5,397,282     $ 14,762,853  
                                 
Weighted average common shares outstanding     2,044,767       2,806,060       2,289,646       2,813,192  
Add: Options     35,296       21,396       53,081       19,964  
Add: Common Stock Warrants           341,716             331,511  
Add: Series B Preferred Stock     1,071,200             1,071,200        
Add: Series B Preferred Stock Warrants     590,145             590,145        
Add: Series E Preferred Stock     127,840       127,840       127,840       127,840  
Assumed weighted average common shares outstanding     3,869,248       3,297,012       4,131,912       3,292,507  
                                 
Diluted earnings per share   $ 0.55     $ 4.05     $ 1.31     $ 4.48  

 

There are 124,168 and 111,668 common stock options that are anti-dilutive that are not included in the three month and nine months ended June 30, 2017 diluted earnings per share computations, respectively.