EXHIBIT 11.1
RIMAGE CORPORATION
COMPUTATION OF NET INCOME PER SHARE OF COMMON STOCK
Basic net income per common share is determined by dividing net income by the
weighted average number of shares of common stock outstanding. Diluted net
income per common share is determined by dividing net income by the weighted
average number of shares of common stock and common share equivalents
outstanding, unless the result is anti-dilutive. The following is a summary of
the weighted average common shares outstanding and assumed conversion shares:
Three months ended Nine months ended
September 30, September 30,
2002 2001 2002 2001
---------- ---------- ---------- ----------
Shares outstanding at end of period 8,713,111 8,665,881 8,713,111 8,665,881
========== ========== ========== ==========
Weighted average shares of common stock
outstanding 8,712,285 8,734,692 8,698,020 8,720,018
Weighted average shares of assumed
conversion shares 809,004 743,871 797,170 815,073
---------- ---------- ---------- ----------
Weighted average shares of common stock and
assumed conversion shares 9,521,289 9,478,563 9,495,190 9,535,091
========== ========== ========== ==========
Net income $1,879,106 $1,395,107 $4,814,134 $3,376,953
========== ========== ========== ==========
Basic net income per common share $ 0.22 $ 0.16 $ 0.55 $ 0.39
========== ========== ========== ==========
Diluted net income per common share $ 0.20 $ 0.15 $ 0.51 $ 0.35
========== ========== ========== ==========
15