EXHIBIT NO. 27 CNS, INC. COMPUTATION OF NET INCOME PER SHARE OF COMMON STOCK Three Months Ended Nine Months Ended September 30, September 30, ------------------------- ------------------------- 1997 1996 1997 1996 ----------- ----------- ----------- ----------- NET INCOME Net income $ 2,558,472 $ 3,894,417 $ 6,493,438 $10,042,825 =========== =========== =========== =========== PRIMARY EARNINGS PER SHARE: Average number of common and common equivalent shares outstanding: Average common shares outstanding 19,274,000 19,145,000 19,244,000 18,556,000 Incentive stock options 395,000 635,000 461,000 646,000 Non qualified stock options 232,000 391,000 271,000 402,000 Warrants 0 75,000 0 76,000 ----------- ----------- ----------- ----------- 19,901,000 20,246,000 19,976,000 19,680,000 =========== =========== =========== =========== Primary earnings per share $ .13 $ .19 $ .33 $ .51 =========== =========== =========== =========== FULLY DILUTED EARNINGS PER SHARE Average number of common and common equivalent shares outstanding: Average common shares outstanding 19,274,000 19,145,000 19,244,000 18,556,000 Incentive stock options 399,000 635,000 461,000 646,000 Non qualified stock options 235,000 391,000 271,000 402,000 Warrants 0 75,000 0 76,000 ----------- ----------- ----------- ----------- 19,908,000 20,246,000 19,976,000 19,680,000 =========== =========== =========== =========== Fully diluted earnings per share $ .13 $ .19 $ .33 $ .51 =========== =========== =========== ===========