Note 7- Earnings per Share

9 Months Ended

Sep. 30, 2011

Note 7—Earnings per Share

The following table provides the calculation methodology for the numerator and denominator for basic and diluted earnings per share:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2011			2010			2011			2010
Net loss from continuing operations	$	(578,000	)	$	(1,279,000	)	$	(1,505,000	)	$	(2,251,000	)

Weighted average shares outstanding		9,819,982			10,063,610			9,749,018			10,054,149
Net effect of dilutive options		75,781			158,962			125,362			204,243
Weighted average diluted shares outstanding		9,895,763			10,222,572			9,874,380			10,258,392

Loss per share from continuing operations - diluted	$	(0.06	)	$	(0.13	)	$	(0.15	)	$	(0.22	)

Net income from discontinued operations	$	1,090,000		$	653,000		$	1,375,000		$	1,645,000

Income per share from discontinued operations - diluted	$	0.11		$	0.06		$	0.14		$	0.16

Net income (loss)	$	512,000		$	(626,000	)	$	(130,000	)	$	(606,000	)

Income (loss) per share - diluted	$	0.05		$	(0.06	)	$	(0.01	)	$	(0.06	)

Options outstanding for 1,102,000 and 1,092,000 shares of common stock for the three and nine months ended September 30, 2011 have been excluded from the above calculation because their effect would have been anti-dilutive.

Options outstanding for 1,954,000 and 1,174,000 shares of common stock for the three and nine months ended September 30, 2010, have been excluded from the above calculation because their effect would have been anti-dilutive.

HEMACARE CORP /CA/ 10-Q