Exhibit 11 Movie Gallery, Inc. Computation of Earnings Per Share Three Months Ended Six Months Ended June 30 June 30 1996 1995 1996 1995 ------------ ----------- ----------- ----------- Net income (loss) $(1,995,000) $ 2,970,000 $ 3,106,000 $ 5,833,000 ============ =========== =========== =========== Shares: Weighted average common shares outstanding 12,437,483 11,168,846 12,288,897 10,191,577 Net effect of dilutive stock options 262,844 350,301 230,514 309,209 ----------- ----------- ----------- ----------- Weighted average common and common equivalent shares outstanding 12,700,327 11,519,147 12,519,411 10,500,786 =========== =========== =========== =========== Income (loss) per common and common equivalent share $ (.16) $ .26 $ .25 $ .56 =========== =========== =========== =========== 12