EXHIBIT 11 GRAHAM CORPORATION AND SUBSIDIARIES COMPUTATION OF EARNINGS PER SHARE
1996 1995 1994 ---- ---- ---- Calculation of common and common equivalent shares: Shares outstanding at beginning of the year 1,580,283 1,577,196 1,569,153 Weighted average number of shares issued during the year: Issuance of shares 681 6,435 Exercise of stock options 4,194 638 ---------- ---------- ----------- Weighted average shares outstanding 1,584,477 1,578,515 1,575,588 Common equivalent shares if stock options were exercised 23,742 944 ---------- ---------- ----------- Average number of common and common equivalent shares outstanding 1,608,219 1,579,459 1,575,588 ========== =========== =========== Calculation of earnings per share: Net income (loss) $3,061,000 $1,134,000 $(8,415,000) Average number of common and common equivalent shares outstanding 1,608,219 1,579,459 1,575,588 ---------- ---------- ----------- Earnings (loss) per common and common equivalent share $1.90 $.72 $(5.34) ========== ========== ===========
Fully diluted earnings per share is equivalent to primary earnings per share as the year-end market price of common stock does not result in greater dilution. Page 58 of 61