Exhibit 11
Sonic Foundry, Inc.
Earnings Per Share Calculations
Earnings per share have been computed based on the weighted average number
of common shares outstanding and the common share equivalents of stock options
and warrants, assuming an initial public offering price of $7.50 per share and
the common shares issuable upon the conversion of the Series B Convertible
Preferred Stock and Convertible Debt.
The following table reconciles the number of common shares outstanding with
the number of common shares used in computing earnings per share.
Year Ended December 31, Nine months ended September 30,
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1995 1996 1996 1997
---- ---- ---- ----
Common shares outstanding 1,053 127,800 1,177 229,760
Effect of using weighted average common
shares outstanding during the period 240,233 134,638 240,136 138,300
Effect of shares issued under stock options and
warrants 142,830 328,898 274,130 384,051
Effect of weighted average shares issuable upon
conversion of Series B Preferred Stock - 1,113,333 - -
Effect of weighted average shares issuable upon
conversion of convertible debt 8,000 8,000 8,000 8,000
Common shares and common share
equivalents used in computing earnings per ------------------------------------------------------------------
share 392,116 1,712,669 523,443 760,111
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Proforma net income (loss) $ 26,324 $ 129,094 $142,065 $(839,091)
Preferred stock dividends declared - - - (1,997)
Interest on convertible debt - - - 718
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Adjusted proforma net income (loss) $ 26,324 $ 129,094 $142,065 $(840,370)
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