Quarterly report [Sections 13 or 15(d)]

Earnings Per Share

Earnings Per Share

3 Months Ended

Dec. 31, 2025

Net income per share is calculated using the weighted average number of shares of common stock outstanding during the applicable period. Basic weighted average common shares 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 Unaudited Condensed Consolidated Balance Sheet. Diluted net income per share is computed using the weighted average number of common shares outstanding and, when dilutive, potential common shares outstanding during the period. Diluted earnings per common share (“EPS”) reflects the impact of common shares issuable from stock options and restricted stock units under the treasury stock method, as well as shares issuable upon the conversion of debt and convertible preferred stock under the if‑converted method. 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 (in $000's):


	Three Months Ended December 31,
	2025		2024
Basic
Net (loss) income	$	(64)	$	492



Weighted average common shares outstanding	3,071,656		3,124,581
Basic (loss) earnings per share	$	(0.02)	$	0.16

Diluted
Net (loss) income applicable to common stock	$	(64)	$	492

Net (loss) income applicable for diluted earnings per share	$	(64)	$	492

Weighted average common shares outstanding	3,071,656		3,124,581



Add: Series E Preferred Stock	—		239
Assumed weighted average common shares outstanding	3,071,656		3,124,820
Diluted (loss) earnings per share	$	(0.02)	$	0.16

Basic EPS is computed by dividing net income by the weighted average number of shares of Common Stock outstanding for the period. Diluted EPS is computed by dividing net income by the sum of the weighted average number of shares of Common Stock outstanding and the effect of dilutive securities. No diluted EPS computation was made for the three

months ended December 31, 2025, as the Company recorded a net loss. Had the Company calculated diluted EPS for the three months ended December 31, 2025, the total assumed weighted average common shares outstanding would have been 4,641,850 and included 29,110 restricted stock units and approximately 1.5 million shares issuable upon the conversion of debt.