BASIC AND DILUTED NET LOSS PER COMMON SHARE

12 Months Ended

Apr. 30, 2014

BASIC AND DILUTED NET LOSS PER COMMON SHARE

NOTE 3 – BASIC AND DILUTED NET LOSS PER COMMON SHARE

Basic and diluted net loss per common share from continuing operations is computed as net loss from continuing operations less noncontrolling interest and dividends on preferred stock, divided by the weighted average number of common shares outstanding for the period. Diluted net loss per common share reflects the potential dilution that could occur from common stock issuable through exercise of stock options, warrants and Note conversions.

The table below presents the computations of loss per share from continuing operations applicable to common stockholders, after consideration of noncontrolling interest and dividends declared on preferred stock, as follows:

	Years Ended
	April 30,
	2014		2013
Numerator:

Net loss from continuing operations attributable to WPCS common shareholders		(11,097,410)	$	(5,379,381)

Denominator:

Basic and diluted weighted average shares outstanding		5,597,821		994,187

Basic and diluted net loss from continuing operations per common share attributable to WPCS common shareholders	$	(1.98)	$	(5.41)

The following were excluded from the computation of diluted shares outstanding due to the losses from continuing operations for the years ended April 30, 2014 and 2013, as they would have had an anti-dilutive impact on the Company’s net loss. Below is a tabulation of the potentially dilutive securities that were “in the money” for the years ended April 30, 2014 and 2013, respectively.

	Years Ended
	April 30,
	2014		2013
Common stock equivalents:
Stock options		97		116,279
Conversion of senior secured convertible notes		4,491,692		1,857,097
Stock warrants		383,027		2,274,796

Totals		4,874,816		4,248,172

- Definition

The entire disclosure for earnings per share.

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