Matria Healthcare 10-Q 2005 Q4 Quarterly report

Exhibit 11

Matria Healthcare, Inc. and Subsidiaries

Computation of Earnings (Loss) per Share

(Amounts in thousands, except per share amounts)

(Unaudited)

	Three Months Ended						Six Months Ended
	June 30,						June 30,
Basic	2005			2004			2005			2004
Net earnings (loss)
Continuing operations	$	5,318		$	(11,855	)	$	9,320		$	(11,579	)
Discontinued operations		(244	)		33,132			(440	)		33,786
Net earnings available to common shareholders	$	5,074		$	21,277		$	8,880		$	22,207
Shares:
Weighted average number of common shares outstanding		17,775			15,465			16,867			15,401
Net earnings (loss) per common share:
Continuing operations	$	0.30		$	(0.77	)	$	0.55		$	(0.75	)
Discontinued operations		(0.01	)		2.15			(0.02	)		2.19
	$	0.29		$	1.38		$	0.53		$	1.44
Diluted:
Net earnings available to common shareholders	$	5,074		$	21,277		$	8,880		$	22,207
Interest and debt expenses related to convertible subordinated notes		408			--			1,073			--
Net earnings available to common shareholders	$	5,482		$	21,277		$	9,953		$	22,207
Shares:
Weighted average number of common shares outstanding		17,775			15,465			16,867			15,401
Shares issuable from assumed exercise of options		1,002			--			1,041			--
Shares issuable from assumed conversion of 4.875% convertible senior subordinated notes		2,700			--			3,539			--
		21,477			15,465			21,447			15,401
Net earnings (loss) per common share:
Continuing operations	$	0.27		$	(0.77	)	$	0.48		$	(0.75	)
Discontinued operations		(0.01	)		2.15			(0.02	)		2.19
Total	$	0.26		$	1.38		$	0.46		$	1.44