Exhibit 11 FARR COMPANY AND SUBSIDIARIES EARNINGS PER SHARE CALCULATIONS (Unaudited) As a result of the 3 for 2 stock split distributed on March 28, 1997, per share amounts for 1996 have been restated to reflect the weighted average number of shares of common stock outstanding, increased by shares issued for the stock split. The per share amounts in 1996 are calculated as though the stock split occurred on the first day of the year. Three Months Ended Six Months Ended June 28, 1997 June 29, 1996 June 28, 1997 June 29, 1996 ------------- ------------- ------------- ------------- BASIC EARNINGS PER SHARE CALCULATION: Earnings: Net Income ................................ $1,826,000 $1,499,000 $3,526,000 $2,677,000 ========== ========== ========== ========== Shares: Weighted average number of common common shares outstanding ............. 5,469,246 5,438,484 5,469,246 5,438,484 ========== ========== ========== ========== Net Income Per Common Share ............... $ 0.33 $ 0.28 $ 0.64 $ 0.49 ========== ========== ========== ========== PRIMARY EARNINGS PER SHARE CALCULATION: Earnings: Net Income ................................ $1,826,000 $1,499,000 $3,526,000 $2,677,000 ========== ========== ========== ========== Shares Weighted average number of common shares outstanding .................... 5,469,246 5,438,484 5,469,246 5,438,484 Assuming exercise of options reduced by the number of shares which could have been purchased with the proceeds from exercise of such options ......... 163,676 71,061 163,676 71,061 --------- ---------- ---------- ---------- Weighted average number of common shares and dilutive common share equivalents outstanding ........................... 5,632,922 5,509,545 5,632,922 5,509,545 ========== ========== ========== ========== Net Income Per Common Share ............... $ 0.32 $ 0.27 $ 0.62 $ 0.48 ========== ========== ========== ==========