• Filing Date: 2018-05-15
  • Form Type: 10-Q
  • Description: Quarterly report
v3.8.0.1
EARNINGS PER SHARE
3 Months Ended
Mar. 31, 2018
Earnings Per Share [Abstract]  
EARNINGS PER SHARE
EARNINGS PER SHARE

Basic earnings per share includes no dilution and is computed by dividing income available to common shareholders by the weighted average number of common shares outstanding for the periods presented. Diluted earnings per share reflects the potential dilution of securities that could share in the earnings of an entity, such as convertible preferred stock, stock options, warrants or convertible securities. Due to their anti-dilutive effect, the calculation of diluted earnings per share for the three months ended March 31, 2018 and 2017 excludes: 1) options to purchase 2,962,933 and 3,032,345 shares, respectively, of common stock, 2) warrants to purchase 7,353,061 and 7,353,061 shares, respectively, of common stock, 3) Series B Preferred Stock which is convertible into 3,479,016 and 3,327,028 shares, respectively, of common stock, 4) Series B1 Preferred Stock which is convertible into 12,947,916 and 12,579,522 shares, respectively, of common stock, 5) Series A Preferred Stock which is convertible into 453,567 and 462,644 shares, respectively, of common stock, and 6) Series C Preferred Stock, which is convertible into 3,156,800 and 3,156,800 shares of common stock, respectively.

The following is a reconciliation of the numerator and denominator for basic and diluted earnings per share for the three months ended March 31, 2018 and 2017
 
Three Months Ended March 31,
 
2018
 
2017
Basic Earnings per Share
 
 
 
Numerator:
 
 
 
Net loss available to common shareholders
$
(3,455,829
)
 
$
(4,047,244
)
Denominator:
 
 
 
Weighted-average shares outstanding
33,063,732

 
32,953,812

Basic earnings per share
$
(0.10
)
 
$
(0.12
)
 
 
 
 
Diluted Earnings per Share
 
 
 
Numerator:
 
 
 
Net loss available to common shareholders
$
(3,455,829
)
 
$
(4,047,244
)
Denominator:
 
 
 
Weighted-average shares outstanding
33,063,732

 
32,953,812

Effect of dilutive securities
 
 
 
Stock options and warrants

 

Preferred Stock

 

Diluted weighted-average shares outstanding
33,063,732

 
32,953,812

Diluted earnings (loss) per share
$
(0.10
)
 
$
(0.12
)