Company: PDEX
Filing Date: 2025-01-30
Form Type: 10-Q
Source: 0001079973-25-000164
Chunk: 6

Company: PRO DEX INC
Filing Date: 2025-01-30
Form: 10-Q
Item: Item 2
Chunk 6
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 statements of income. Changes in estimates to previously established warranty accruals result from current period updates
to assumptions regarding repair costs and warranty return rates and are included in current period warranty expense.

    9 
    PRO-DEX, INC. AND SUBSIDIARYNOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS(UNAUDITED) 

Information regarding the
accrual for warranty costs for the three and six months ended December 31, 2024 and 2023, are as follows (in thousands):

    Schedule of accrual warranty costs  

    As
                                            of and for the  Three
                                            Months Ended December 31,  
    As
                                            of and for the Six
                                            Months Ended December 31, 

    2024  
    2023  
    2024  
    2023 
  
    Beginning balance	 
    $300  
    $189  
    $277  
    $200 
  
          Accruals during the period 	 
     48  
    $29  
    $138  
    $53 
  
          Changes in estimates of prior period warranty accruals 	 
     (7) 
     8  
     (25) 
     7 
  
           Warranty amortization 	 
     (29) 
     (32) 
     (78) 
     (66)
  
    Ending balance 	 
    $312  
    $194  
    $312  
    $194 

NOTE 6. NET INCOME (LOSS) PER SHARE

We calculate basic net
income (loss) per share by dividing net income by the weighted-average number of common shares outstanding during the reporting period.
In income generating periods, the weighted-average number of common shares outstanding reflects the effects of potentially dilutive securities,
which consist entirely of outstanding stock options, restricted stock, and performance awards.

The following table presents
reconciliations of the numerators and denominators of the basic and diluted earnings (loss) per share computations for net income (loss).
Because we incurred a net loss for the six months ended December 31, 2023, basic and diluted loss were the same, as the inclusion of 64,800
common shares potentially issuable under the terms of outstanding performance awards would have had an anti-dilutive effect. In the