Basic earnings per share is computed using the weighted average number of shares outstanding. Diluted earnings per share is computed using the weighted average number of shares outstanding adjusted for the incremental shares attributed to potentially dilutive securities. The following table sets forth the computation of basic and diluted earnings per share for the years ended June 30, 2026 and 2025:

The Company incurred a net loss for the year ended June 30, 2026. As a result, the dilutive securities, the common stock series A and B warrants, were considered anti-dilutive and excluded from the calculation of diluted net loss per share. As of June 30, 2026, 423,945 shares underlying these instruments were excluded.

In accordance with ASC Topic 260, Earnings Per Share, shares issuable for little to no consideration should be included in the number of outstanding shares used for basic earnings per share. The FASB proposed that warrants or options exercisable for little to no cost be included in the denominator of basic earnings per share (and therefore diluted earnings per share) once there were no further vesting conditions or contingencies associated with them. As of June 30, 2026, there were no outstanding pre-funded warrants. As of June 30, 2025, the Company included 129,226.50 pre-funded warrants in the denominator of basic earnings per share.