• Filing Date: 2020-03-23
  • Form Type: 10-K
  • Description: Annual report
v3.20.1
Loss Per Share
12 Months Ended
Dec. 31, 2019
Earnings Per Share [Abstract]  
Loss Per Share

A summary of the numerator and denominator of the basic and diluted loss per share is presented below (dollars in thousands except per share amounts):

 

    Years ended December 31  
    2019     2018  
Numerator:            
     Net loss   $ (305 )     (5,749 )
                 
Denominator:                
    Weighted average shares - basic     5,733,587       5,733,587  
    Effect of dilutive securities - Stock options     -       -  
    Shares issuable upon conversion of warrants     -       -  
    Weighted average shares - diluted     5,733,587       5,733,587  
Loss per share - basic   $ (0.05 )     (1.00 )
Loss per share - diluted   $ (0.05 )     (1.00 )

 

For the years ended December 31, 2019, options to purchase 540,000 ordinary shares were anti-dilutive due to net loss during the year presented. For the year ended December 31, 2018, 250,000 options to purchase 250,000 ordinary shares were anti-dilutive as the sum of the proceeds, including unrecognized compensation expense, exceeded the average market price of the Company’s ordinary share during the period presented. For the years ended December 31, 2019 and 2018, 8,230,700 warrants to purchase an aggregate of 8,230,700 ordinary shares were anti-dilutive because the exercise price of $7.50 exceeded the average market price of the Company’s ordinary share during the periods presented.

 

GAAP requires the Company to use the two-class method in computing basic loss per share since holders of the Company’s restricted stock have the right to share in dividends, if declared, equally with common stockholders. These participating securities effect the computation of both basic and diluted earnings per share during periods of net loss.