Earnings Per Share

3 Months Ended

Mar. 31, 2016

7. ASC 260 Earnings Per Share (“EPS”) requires dual presentation of basic EPS and diluted EPS on the face of the condensed consolidated statements of operations. Basic EPS is computed as net income divided by the weighted average number of shares of common stock outstanding during the period. Diluted EPS reflects potential dilution that could occur if securities or other contracts, which, for the Company, consists of options to purchase shares of the Company’s common stock, are exercised.

The components of basic and diluted earnings per share were as follows:


	Three Months Ended March 31,
	2016		2015
Numerator:
Net income attributable to AVD	$	2,794	$	51

Denominator:
Weighted averages shares outstanding-basic		28,808		28,527
Dilutive effect of stock options and grants		499		312

		29,307		28,839

For the three months ended March 31, 2016, no stock options were excluded from the computation of diluted earnings per share. The Company excluded 276,654 stock options from the computation of diluted earnings per share for the three months ended March 31, 2015 because to include those options would be anti-dilutive.