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

Quarterly report pursuant to Section 13 or 15(d)

Note 8 - Earnings Per Common Share

Note 8 - Earnings Per Common Share

3 Months Ended

Apr. 01, 2018

8.	Earnings per common share

The following table details the weighted average number of common shares outstanding for the purposes of computing basic and diluted earnings per common share for the following periods:

	Three months ended
(Number of common shares)	April 1 , 201 8		April 2 , 201 7
Basic weighted average shares outstanding		17,041,504		16,660,900
Dilutive stock awards (a) (b)		482,386		—
Diluted weighted average shares outstanding		17,523,890		16,660,900

(a)

For the

three

months ended

April 1, 2018,

as a result of net income for the period, dilutive earnings per share were calculated using the treasury stock method. The dilutive stock awards have been calculated as

482,386

for the

three

months ended

April 1, 2018

related to outstanding unvested restricted stock units and incremental in-the-money stock options.

(b)

For the

three

months ended

April 2, 2017,

as a result of net losses for the periods, dilutive earnings per share were calculated using the basic weighted average shares outstanding as the effect of potential common shares would have been anti-dilutive. Had there been net income for the periods, dilutive stock awards would have been calculated as

887,138

for the

three

months ended

April 2, 2017,

respectively related to outstanding unvested restricted stock units and incremental in-the-money stock options.