Quarterly report pursuant to Section 13 or 15(d)

Earnings Per Share

v3.8.0.1
Earnings Per Share
9 Months Ended
Mar. 31, 2018
Earnings Per Share [Abstract]  
Earnings Per Share

Note (4) - Earnings Per Share: The Company computes earnings per share using the two-class method. The two-class method of computing earnings per share is an earnings allocation formula that determines earnings per share for common stock and any participating securities according to dividends declared (whether paid or unpaid) and participation rights in undistributed earnings. Shares of the Company’s common stock subject to unvested restricted stock awards are considered participating securities because these awards contain a non-forfeitable right to cash dividends paid prior to forfeiture of the restricted stock, if any, irrespective of whether the awards ultimately vest. Basic and diluted earnings per share for the three and nine months ended March 31, 2018 and 2017 are computed as follows (in thousands, except per share data):

    For the nine months ended
March 31,
  For the three months ended
March 31,
    2018
(Unaudited)
  2017
(Unaudited)
  2018
(Unaudited)
  2017
(Unaudited)
                 
Net income   $ 3,209     $ 2,570     $ 1,136     $ 890  
Less: distributed and undistributed
           income allocated to unvested
           restricted common stock
    243       107       86       37  
Net income allocated to
           EnviroStar, Inc.
           shareholders
  $ 2,966     $ 2,463     $ 1,050     $ 853  
Weighted average shares
           outstanding used in basic
           earnings per share
    10,728       9,140       11,020       10,369  
Dilutive common share
           equivalents
    417       32       499       96  
Weighted average shares
           outstanding used in diluted
           earnings per share
    11,145       9,172       11,519       10,465  
Basic earnings per share   $ 0.28     $ 0.27     $ 0.10     $ 0.08  
Diluted earnings per share   $ 0.27     $ 0.27     $ 0.09     $ 0.08  

 

At March 31, 2018 and 2017, other than the restricted common stock discussed above, there were no potentially dilutive securities outstanding.