Earnings Per Share

12 Months Ended

Dec. 31, 2019

5.	EARNINGS PER SHARE

The Company considers its unvested share based payment awards, which contain non-forfeitable rights to dividends, participating securities, and includes such participating securities in its computation of earnings per share pursuant to the two-class method. Basic earnings per share for the two classes of stock (common stock and unvested restricted stock) is calculated by dividing net income by the weighted average number of shares of common stock and unvested restricted stock outstanding during the reporting period. Diluted earnings per share is calculated using

the weighted average number of shares of common stock plus the potentially dilutive effect of common equivalent shares outstanding determined under both the two class method and the treasury stock method.

The following table presents computations of basic and diluted earnings per share under the two class method:

	Year Ended
	December 31,
	2017			2018			2019
Numerator:
Net income attributable to Cinemark Holdings, Inc.	$	264,180		$	213,827		$	191,386
Earnings allocated to participating share-based awards ⁽¹⁾		(1,350	)		(1,168	)		(1,174	)
Net income attributable to common stockholders	$	262,830		$	212,659		$	190,212
Denominator (shares in thousands):
Basic weighted average shares outstanding		115,766			116,054			116,306
Common equivalent shares for restricted stock units		293			288			300
Diluted weighted average shares outstanding		116,059			116,342			116,606
Basic earnings per share attributable to common stockholders	$	2.26		$	1.83		$	1.63
Diluted earnings per share attributable to common stockholders	$	2.26		$	1.83		$	1.63

(1)	For the years ended December 31, 2017, 2018 and 2019, a weighted average of approximately 596 shares, 640 shares and 721 shares, of unvested restricted stock, respectively, are considered participating securities.