1 EXHIBIT (11) WALL DATA INCORPORATED COMPUTATION OF EARNINGS PER SHARE THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, 1996 1995 1996 1995 ------------- -------------- ------------- -------------- PRIMARY Average shares outstanding 9,021,868 9,287,404 9,007,820 9,279,454 Net effect of dilutive stock options based on the treasury stock method using average market price 724,988 811,627 656,954 927,305 ------------- -------------- ------------- -------------- Total weighted average shares outstanding 9,746,856 10,099,031 9,664,775 10,206,759 ============= ============== ============= ============== Net income $ 1,661,000 $ 4,982,000 $ 2,172,000 $ 5,003,000 ============= ============== ============= ============== Net income per share $ 0.17 $ 0.49 $ 0.22 $ 0.49 ============= ============== ============= ============== FULLY DILUTED Average shares outstanding 9,021,868 9,287,404 9,007,820 9,279,454 Net effect of dilutive stock options based on the treasury stock method using the period-end market price, if higher than average market price 829,321 811,627 829,321 927,305 ------------- -------------- ------------- -------------- Total weighted average shares outstanding 9,851,189 10,099,031 9,837,141 10,206,759 ============= ============== ============= ============== Net income $ 1,661,000 $ 4,982,000 $ 2,172,000 $ 5,003,000 ============= ============== ============= ============== Net income per share $ 0.17 $ 0.49 $ 0.22 $ 0.49 ============= ============== ============= ============== 15