Company: LGCY
Filing Date: 2025-09-25
Form Type: 10-K
Source: 0001493152-25-014945
Chunk: 632

Company: Legacy Education Inc.
Filing Date: 2025-09-25
Form: 10-K
Item: Item 2
Chunk 632
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 dilution. Diluted EPS is calculated using the treasury stock method, and reflects the potential dilution that could occur
if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common
stock that then shared in the earnings of the entity.

    F-12

 Legacy
Education Inc.

Notes to Consolidated Financial Statements

For Fiscal Years ended June 30, 2025 and 2024

The
following table provides a reconciliation of the numerators and denominators used to determine basic and diluted net income per common
share for years ended June 30, 2025 and 2024:

Schedule of Reconciliation of Basic and Diluted 

    2025  
    2024 
  
    Numerator 

    Net income 
    $7,534,232  
    $5,114,852 

    Denominator 

    Weighted-average shares outstanding, basic 
     11,581,383  
     9,291,149 
  
    Common stock warrants 
     55,583  
     - 
  
    Dilutive impact of share-based instruments 
     1,048,070  
     400,000 
  
    Weighted-average shares outstanding, diluted 
     12,685,036  
     9,691,149 

    Net income per share 

    Basic 
    $0.65  
    $0.55 
  
    Diluted 
    $0.59  
    $0.53 

Recent
Accounting Pronouncements

In
June 2016, the FASB issued Accounting Standards Update (“ASU”) 2016-13, Financial Instruments - Credit Losses (Topic
326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). ASU 2016-13 provides guidance for recognizing
credit losses on financial instruments based on an estimate of current expected credit losses model. The amendments are effective for
fiscal years beginning after December 15, 2019. Subsequently, the FASB issued the final ASU to delay adoption for smaller reporting companies
for fiscal years beginning after December 15, 2022. The Company adopted ASU 2016-13 on July 1, 2023 and it did not have a material impact
on its consolidated financial statements and related disclosures.

In
August 2020, the F