1 EXHIBIT 11.1 TEKELEC STATEMENT OF COMPUTATION OF EARNINGS PER SHARE Three Months Ended PRIMARY March 31, (thousands, except per share data) ------------------------------ 1996 1995 ------- ------- Net income (loss) . . . . . . . . . . . . . . . $(3,968) $ 1,468 ======= ======= Basis for computation of primary earnings per common and common equivalent share: Weighted average number of shares outstanding during period . . . . . . . . . . . 11,637 9,155 Weighted average (incremental) common share equivalent after considering the effects of options exercised and canceled during the period and after assumed repurchase of treasury shares--treasury stock method . . . . . . . . . . . . . . . . . . -- 1,640 ------- ------- 11,637 10,795 ======= ======= Earnings (Loss) per share . . . . . . . . . . . $ (0.34) $ 0.14 ======= ======= Three Months Ended FULLY DILUTED March 31, (thousands, except per share data) ------------------------------ 1996 1995 ------- ------- Net income (loss) . . . . . . . . . . . . . . . $(3,968) $ 1,468 ======= ======= Basis for computation of fully diluted earnings per common and common equivalent share: Weighted average number of shares outstanding during period . . . . . . . . . . . 11,637 9,155 Weighted average (incremental) common share equivalent after considering the effects of options exercised and canceled during the period and after assumed repurchase of treasury shares -- treasury stock method . . . . . . . . . . . . . . . . . . -- 1,758 ------- ------- 11,637 10,913 ======= ======= Earnings (Loss) per share . . . . . . . . . . . $ (0.34) $ 0.13 ======= =======