1 EXHIBIT 11 SERVICE EXPERTS, INC. EXHIBIT 11 - COMPUTATION OF EARNINGS PER SHARE Three Months Ended Nine Months Ended September 30, September 30, 1996 1997 1996 1997 ------ ------- ------ ------- (Unaudited) (Unaudited) (In thousands, except per share data) Net income $1,513 $ 4,749 $1,635 $11,515 Average shares outstanding 5,455 14,759 3,252 14,005 Net effect of dilutive stock options based on the treasury stock method using average market price -- 173 -- 147 ------ ------- ------ ------- Weighted average shares 5,455 14,932 3,252 14,152 ------ ------- ------ ------- Net income per common share $ 0.28 $ 0.32 $ 0.50 $ 0.81 ====== ======= ====== ======= 16