8. Income Per Common Share

 

The following is a reconciliation of the number of shares used in the calculation of basic income per share and diluted income per share for the years ended March 31:

 

   2025   2024 
Net income  $1,712,368   $1,344,952 
           
Shares outstanding:          
Weighted avg. common shares outstanding – basic   2,064,147    2,114,360 
Effect of the assumed exercise of dilutive stock options   43,628    46,650 
Weighted avg. common shares outstanding – dilutive   2,107,775    2,161,010 
           
Income per common share:          
Basic  $0.83   $0.64 
Diluted  $0.81   $0.62 

 

For the year ended March 31, 2025, 60,500 shares relating to stock options were excluded from the computation of diluted net income because their inclusion would be anti-dilutive. Anti-dilutive stock options have a weighted average exercise price of $15.34 at March 31, 2025. For the year ended March 31, 2024, 93,000 shares relating to stock options were excluded from the computation of diluted net income because their inclusion would be anti-dilutive. Anti-dilutive stock options have a weighted average exercise price of $13.12 at March 31, 2024.

 

Historical Timeline

Fiscal YearFiled
2025Jun 27, 2025Showing above
2024Jun 27, 2024
2022Jun 27, 2022
2021Jun 25, 2021
2020Jun 26, 2020
2018Jun 27, 2018

About Earnings Per Share Disclosures

The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.

Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.