1 HEALTH MANAGEMENT SYSTEMS, INC. AND SUBSIDIARIES EXHIBIT 11--COMPUTATIONS OF EARNINGS PER SHARE (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) Three months ended Six months ended April 30, April 30, -------------------- ------------------- 1997 1996 1997 1996 ------- ------ ------ ------ Primary Earnings Per Share: Earnings data: Net income $ 281 3,102 2,084 6,712 ======= ====== ====== ====== Weighted average shares outstanding: Average shares of common stock outstanding 17,688 17,076 17,660 16,904 Net effect of dilutive stock options--based on the treasury stock method using average market price 144 1,401 374 1,425 ------- ------ ------ ------ Weighted average shares outstanding 17,832 18,477 18,034 18,329 ======= ====== ====== ====== Earnings per common share: Net income $ 0.02 0.17 0.12 0.37 ======= ====== ====== ======