EXHIBIT 11.1 LIGHTBRIDGE, INC. COMPUTATION OF EARNINGS (LOSS) PER COMMON SHARE THREE MONTHS SIX MONTHS YEARS ENDED SEPTEMBER 30, ENDED DECEMBER 31, ENDED JUNE 30, ---------------------------------- ---------------------- ----------------------- 1993 1994 1995 1994 1995 1995 1996 --------- ---------- ----------- ---------- ---------- ----------- ---------- PRO-FORMA: Weighted Average Number of Common and Common Equivalent Shares Outstanding: Common Stock........... 6,508,424 6,507,846 6,509,214 6,508,318 6,422,537 Assumed Conversion of Preferred Stock....... 5,247,324 5,247,324 5,247,324 5,247,324 5,247,324 Common Equivalent Shares Resulting from stock options and warrants (treasury stock method)......... -- 480,753 499,313 -- 1,218,221 SAB 83 Shares (treasury stock method)......... 926,167 926,167 926,167 926,167 926,167 ----------- ---------- ---------- ----------- ---------- Total.................. 12,681,915 13,162,089 13,182,018 12,681,809 13,814,249 =========== ========== ========== =========== ========== Net Income Applicable to Common Stock....... $(2,432,914) $ 411,723 $ 72,205 $(1,735,842) $ 302,500 =========== ========== ========== =========== ========== Pro-Forma Income per Common Share.......... $ (0.19) $ 0.03 $ 0.01 $ (0.14) $ 0.02 =========== ========== ========== =========== ========== PRIMARY: Weighted Average Number of Common and Common Equivalent Shares Outstanding: Common Stock........... 5,666,400 6,493,091 6,508,424 6,507,846 6,509,214 6,508,318 6,422,537 Common Equivalent Shares Resulting from stock options and warrants (treasury stock method)......... -- 397,081 -- 480,753 499,313 -- 1,218,221 SAB 83 Shares (treasury stock method)......... 926,167 926,167 926,167 926,167 926,167 926,167 926,167 --------- ---------- ----------- ---------- ---------- ----------- ---------- Total.................. 6,592,567 7,816,338 7,434,591 7,914,765 7,934,694 7,434,485 8,566,925 ========= ========== =========== ========== ========== =========== ========== Net Income (Loss)...... $(125,423) $ 950,272 $(2,432,914) $ 411,723 $ 72,205 $(1,735,842) $ 302,500 Dividends Accreted on Preferred Stock....... (150,421) (182,544) (182,544) (45,635) (45,635) (91,270) (91,270) --------- ---------- ----------- ---------- ---------- ----------- ---------- Net Income (Loss) Applicable to Common Stock................. $(275,844) $ 767,728 $(2,615,458) $ 366,088 $ 26,570 $(1,827,112) $ 211.230 ========= ========== =========== ========== ========== =========== ========== Primary Income per Com- mon Share............. $ (0.04) $ 0.10 $ (0.35) $ 0.05 $ 0.00 $ (0.25) $ 0.02 ========= ========== =========== ========== ========== =========== ========== FULLY DILUTED: Weighted Average Number of Common and Common Equivalent Shares Outstanding: Common Stock........... 5,666,400 6,493,091 6,508,424 6,507,846 6,509,214 6,508,318 6,422,537 Assumed Conversion of Preferred Stock....... 2,910,621 3,243,326 3,243,326 3,243,326 3,243,326 3,243,326 4,213,924 Common Equivalent Shares Resulting from stock options and warrants (treasury stock method)......... -- 464,201 -- 480,753 499,313 -- 1,465,817 SAB 83 Shares (treasury stock method)......... 926,167 926,167 926,167 926,167 926,167 926,167 926,167 --------- ---------- ----------- ---------- ---------- ----------- ---------- Total.................. 9,503,188 11,126,784 10,677,917 11,158,091 11,178,020 10,677,811 13,028,445 ========= ========== =========== ========== ========== =========== ========== Net Income Applicable to Common Stock....... $(125,423) $ 950,272 $(2,432,914) $ 411,723 $ 72,205 $(1,735,842) $ 302,500 ========= ========== =========== ========== ========== =========== ========== Fully Diluted Income per Common Share...... $ (0.01) $ 0.08 $ (0.23) $ 0.04 $ 0.01 $ (0.16) $ 0.02 ========= ========== =========== ========== ========== =========== ==========