Earnings (Loss) Per Share

12 Months Ended

Sep. 30, 2015

Earnings Per Share

Basic earnings per share is calculated by dividing income available to common shareholders by the weighted average number of common shares outstanding and restricted stock grants that vested or are likely to vest during the period. Diluted earnings per share is calculated by dividing income (loss) available to common shareholders by the weighted average number of basic common shares outstanding, adjusted to reflect potentially dilutive securities. Diluted earnings per share is calculated using the treasury stock method.



		(in thousands)
		Year Ended
		September 30,
		2016		2015
Numerator:
Net income		$	3,384	$	8,728
Denominator:
Denominator for basic net income per share - weighted-average outstanding shares		9,966		9,573
Effect of dilutive securities:
Stock options and restricted stock		1,254		466
Denominator for diluted net income per share - weighted-average outstanding shares		11,220		10,039

Net income per share - basic	(a)	$	0.34	$	0.91
Net income per share - diluted	(a)	$	0.30	$	0.87

Ref (a): For fiscal years ended September 30, 2016 and September 30, 2015, we realized a $0.9 million and $5.5 million tax benefit, net, respectively, related to the release of a portion of our valuation allowance to reflect the amount of our deferred tax asset that we expect to realize in future years. This resulted in an improvement of net income per share basic and diluted for both fiscal years, with a significantly higher benefit in the prior year period.