(1) To exclude the effect of one-time charges of $0.2 million and $7.4 million in the fourth quarter of 2018 and for the full year 2018, respectively, due to the agreement in principle to settle the complaint filed against the Company for $6.75 million, approximately $0.6 million of legal costs incurred in relation to the settlement negotiation, and other one-time costs, and the tax effect of those one-time charges. |
(2) Weighted average outstanding shares used to compute adjusted basic net earnings (loss) per share were 7,351 and 7,129 for the fourth quarters of 2018 and 2017, respectively, and 7,220 and 7,026 for the full years 2018 and 2017, respectively. Weighted average outstanding shares used to compute adjusted diluted net earnings (loss) per share were 7,947 and 7,673 for the fourth quarters of 2018 and 2017, respectively, and 7,856 and 7,642 for the full years 2018 and 2017, respectively. |
(3) To exclude the effect of a non-recurring, non-cash accounting charge of $5.9 million, in both the fourth quarter and full year of 2017, related to enactment of the 2017 Tax Cuts and Jobs Act ("U.S. Tax Reform") for the revaluation of deferred tax assets and valuation allowance, primarily consisting of Heska's net operating loss carry-forwards in light of the U.S. Tax Reform Corporate tax rate of 21%. |
