1 ENGINEERED SUPPORT SYSTEMS, INC. EXHIBIT 11 - STATEMENT RE: COMPUTATION OF NET INCOME PER SHARE Year Ended ---------------------------------------------------------- 1997 1996 1995 ---------- ---------- ---------- NET INCOME $4,638,946 $3,314,208 $2,473,062 ========== ========== ========== NET INCOME PER SHARE Average shares outstanding 3,168,843 3,061,905 3,035,582 ========== ========== ========== Net income $1.46 $1.08 $.81 ========== ========== ========== PRIMARY EARNINGS PER SHARE Average shares outstanding 3,168,843 3,061,905 3,035,582 Net effect of dilutive stock options<F1> 134,348 191,391 228,294 ---------- ---------- ---------- 3,303,191 3,253,296 3,263,876 ========== ========== ========== Net income $1.40 $1.02 $.76 ========== ========== ========== FULLY DILUTED EARNINGS PER SHARE Average shares outstanding 3,168,843 3,061,905 3,035,582 Net effect of dilutive stock options<F1> 172,476 216,098 266,992 ---------- ---------- ---------- 3,341,319 3,278,003 3,302,574 ========== ========== ========== Net income $1.39 $1.01 $.75 ========== ========== ========== <FN> <F1> Based on the treasury stock method 1997, 1996 and 1995 net income per share, as presented in the consolidated financial statements, is based on the fully diluted weighted average number of common and common equivalent shares outstanding. 17