NOTE 8. EARNINGS PER SHARE

The basic earnings per share (“EPS”) calculation excludes dilution and is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution of EPS that could occur if options to issue common stock were exercised.

The following table sets forth the computation for basic and diluted EPS:

	Nine Months Ended March 31,					Three Months Ended March 31,
(dollars in thousands, except per share data)	2019			2018		2019			2018
Net Income (Loss)	$	(3,529	)	$	1,055	$	718		$	(1,065	)
Less: Net Income (Loss) Attributable to Non-Controlling Interest		52			96		(61	)		(5	)
Net Income (Loss) Attributable to U.S. Global Investors, Inc.	$	(3,581	)	$	959	$	779		$	(1,060	)

Weighted average number of outstanding shares
Basic		15,141,061			15,162,570		15,132,408			15,144,068
Effect of dilutive securities
Employee stock options		-			27		-			-
Diluted		15,141,061			15,162,597		15,132,408			15,144,068

Earnings Per Share Attributable to U.S. Global Investors, Inc.
Basic	$	(0.24	)	$	0.06	$	0.05		$	(0.07	)
Diluted	$	(0.24	)	$	0.06	$	0.05		$	(0.07	)

The diluted EPS calculation excludes the effect of stock options when their exercise prices exceed the average market price for the period. For the three and nine months ended March 31, 2019, 4,000 options were excluded from diluted EPS. For the three months ended March 31, 2018, 4,000 options were excluded from diluted EPS. For the nine months ended March 31, 2018, 2,000 options were excluded from diluted EPS.

During the three and nine months ended March 31, 2019, and 2018, the Company repurchased class A shares on the open market. Upon repurchase, these shares are classified as treasury shares and are deducted from outstanding shares in the earnings per share calculation.