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 6,508,319 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)......... -- 480,753 499,314 -- 1,218,222 SAB 83 Shares (treasury stock method)......... 858,747 858,747 858,747 858,747 858,747 ----------- ---------- ---------- ----------- ---------- Total.................. 12,614,495 13,094,670 13,114,599 12,614,390 13,746,830 =========== ========== ========== =========== ========== Net Income (Loss) Ap- plicable to Common Stock................. $(2,432,914) $ 411,723 $ 72,205 $(1,735,842) $ 302,500 =========== ========== ========== =========== ========== Pro-Forma Income (Loss) 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 6,508,319 6,422,537 Common Equivalent Shares Resulting from stock options and warrants (treasury stock method)......... -- 397,081 -- 480,753 499,314 -- 1,218,222 SAB 83 Shares (treasury stock method)......... 858,747 858,747 858,747 858,747 858,747 858,747 858,747 --------- ---------- ----------- ---------- ---------- ----------- ---------- Total.................. 6,525,147 7,748,919 7,367,171 7,847,346 7,867,275 7,367,066 8,499,506 ========= ========== =========== ========== ========== =========== ========== 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 $ (0.36) $ 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 6,508,319 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 -- 480,753 499,314 -- 1,465,817 SAB 83 Shares (treasury stock method)......... 858,747 858,747 858,747 858,747 858,747 858,747 858,747 --------- ---------- ----------- ---------- ---------- ----------- ---------- Total.................. 9,435,768 11,059,365 10,610,497 11,090,672 11,110,601 10,610,392 12,961,025 ========= ========== =========== ========== ========== =========== ========== Net Income (Loss) Ap- plicable to Common Stock................. $(125,423) $ 950,272 $(2,432,914) $ 411,723 $ 72,205 $(1,735,842) $ 302,500 ========= ========== =========== ========== ========== =========== ========== Fully Diluted Income (Loss) per Common Share................. $ (0.01) $ 0.09 $ (0.23) $ 0.04 $ 0.01 $ (0.16) $ 0.02 ========= ========== =========== ========== ========== =========== ==========