Three Months Ended

April 30,

Six Months Ended

April 30,

(In thousands, except per share data)

2013

2012

2013

2012

Numerator:

Net earnings (loss) attributable to Hovnanian

$

1,318

$

1,802

$

(9,990

)

$

(16,463

)

Less: undistributed earnings allocated to nonvested shares

(2

)

(3

)

-

Numerator for basic earnings per share

1,316

1,799

(9,990

)

(16,463

)

Plus: undistributed earnings allocated to nonvested shares

2

3

Less: undistributed earnings reallocated to nonvested shares

(2

)

(3

)

-

Numerator for diluted earnings per share

$

1,316

$

1,799

$

(9,990

)

$

(16,463

)

Denominator:

Denominator for basic earnings per share

145,948

116,021

144,373

112,338

Effect of dilutive securities:

Share based payments

1,283

96

-

Denominator for diluted earnings per share – weighted average shares outstanding

147,231

116,117

144,373

112,338

Basic earnings (loss) per share

$

0.01

$

0.02

$

(0.07

)

$

(0.15

)

Diluted earnings (loss) per share

$

0.01

$

0.02

$

(0.07

)

$

(0.15

)