EXHIBIT 11 MATRIA HEALTHCARE, INC. AND SUBSIDIARIES COMPUTATION OF EARNINGS (LOSS) PER SHARE (Amounts in thousands, except per share amounts) (Unaudited) THREE MONTHS ENDED YEARS ENDED DECEMBER 31, DECEMBER 31, ------------------------- ------------------------- 2002 2001 2002 2001 -------- -------- -------- -------- BASIC Net earnings (loss) Continuing operations $(15,976) $ 400 $(15,644) $ 7,925 Discontinued operations -- (1,030) (682) (1,240) -------- -------- -------- -------- (15,976) (630) (16,326) 6,685 Preferred stock dividend requirements -- -- -- (1,638) Accretion on preferred stock -- -- -- (225) Net gain on repurchases of preferred stock -- -- -- 739 -------- -------- -------- -------- Net earnings (loss) available to common shareholders $(15,976) $ (630) $(16,326) $ 5,561 ======== ======== ======== ======== Shares: Weighted average number of common shares outstanding 10,051 8,785 9,309 8,748 ======== ======== ======== ======== Net earnings (loss) per common share Continuing operations $ (1.59) $ 0.05 $ (1.68) $ 0.78 Discontinued operations -- (0.12) (0.07) (0.14) -------- -------- -------- -------- $ (1.59) $ (0.07) $ (1.75) $ 0.64 ======== ======== ======== ======== DILUTED Net earnings (loss) available to common shareholders $(15,976) $ (630) $(16,326) $ 5,561 Dividends on convertible preferred shares -- -- -- 25 -------- -------- -------- -------- Net earnings (loss) for diluted calculation $(15,976) $ (630) $(16,326) $ 5,586 ======== ======== ======== ======== Shares: Weighted average number of common shares outstanding 10,051 8,785 9,309 8,748 Shares issuable from assumed exercise of options and warrants -- 410 -- 209 Convertible preferred stock -- -- -- 35 -------- -------- -------- -------- 10,051 9,195 9,309 8,992 ======== ======== ======== ======== Net earnings (loss) per common share Continuing operations $ (1.59) $ 0.04 $ (1.68) $ 0.76 Discontinued operations -- (0.11) (0.07) (0.14) -------- -------- -------- -------- Total $ (1.59) $ (0.07) $ (1.75) $ 0.62 ======== ======== ======== ========