EXHIBIT 11 LEXINGTON HEALTHCARE GROUP, INC. SCHEDULE OF COMPUTATION OF NET INCOME PER SHARE (IN THOUSANDS, EXCEPT PER SHARE DATA) Years Ended June 30, -------------------------- 1997 1996 Net income (loss) $ (275,000) $ 461,000 ------------ ----------- Net income (loss) for primary income per common share $ (275,000) $ 461,000 ------------ ----------- ------------ ----------- Weighted average number of common shares outstanding during the year 2,724,042 2,592,000 ------------ ----------- Weighted average number of shares used in calculation of primary income per share 2,724,042 2,592,000 ------------ ----------- ------------ ----------- Primary income (loss) per common share $ (0.10) $ 0.18 ------------ ----------- ------------ ----------- Income per common share is computed using the weighted average number of shares deemed outstanding as adjusted for the exchange of shares between entities under common control. Weighted average number of shares outstanding includes common stock equivalents when they have a dilutive effect. There are no material differences between primary and fully-diluted income per common share.