Graham Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Income Per Share

Income Per Share

3 Months Ended

Jun. 30, 2014

NOTE 7 – INCOME PER SHARE:

Basic income per share is computed by dividing net income by the weighted average number of common shares outstanding for the period. Common shares outstanding include share equivalent units, which are contingently issuable shares. Diluted income per share is calculated by dividing net income by the weighted average number of common shares outstanding and, when applicable, potential common shares outstanding during the period. A reconciliation of the numerators and denominators of basic and diluted income per share is presented below:


	Three Months Ended June 30,
	2014		2013
Basic income per share

Numerator:
Net income		$ 2,392		$ 3,808


Denominator:
Weighted common shares outstanding		10,105		10,014
Share equivalent units (“SEUs”) outstanding		-		43

Weighted average common shares and SEUs outstanding		10,105		10,057


Basic income per share		$0.24		$0.38


Diluted income per share

Numerator:
Net income		$ 2,392		$ 3,808


Denominator:
Weighted average common shares and SEUs outstanding		10,105		10,057
Stock options outstanding		22		29

Weighted average common and potential common shares outstanding		10,127		10,086


Diluted income per share		$0.24		$0.38

¹ Options to purchase a total of 12 and 14 shares of common stock were outstanding at June 30, 2014 and 2013, respectively, but were not included in the above computation of diluted income per share given their exercise prices as they would be anti-dilutive upon issuance.

- Definition

The entire disclosure for earnings per share.

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