Earnings Per Share

6 Months Ended

Jun. 30, 2017

The Company calculates basic net income per Class A common share based on the weighted average number of Class A common shares outstanding (inclusive of vested restricted share units). The unvested restricted share units have the non-forfeitable right to participate in dividends declared and paid on the Company’s common stock on an as vested basis and are therefore considered a participating security. The Company calculates basic earnings per share using the “two-class” method, and for the three and six months ended June 30, 2017 and June 30, 2016, the income available to common stockholders was allocated to the unvested restricted stock units.

Diluted net income per Class A common shares for the period includes the effect of potential equity of subsidiaries as well as potential Class A common stock, if dilutive. For the three months and six months ended June 30, 2017, the assumed exercise of all dilutive instruments were anti-dilutive and, therefore, were not included in the diluted net income per Class A common share calculation.

The following table presents a reconciliation of basic and diluted net income per common share for the following periods:



	Three Months Ended June 30,					Six Months Ended June 30,
	2017			2016		2017			2016
Net income (loss)	$	(5,324	)	$	7,021	$	(3,982	)	$	14,435
Less:
Net income (loss) attributable to non-controlling interests	(881		)	888		(639		)	2,747
Net income allocated to participating securities	—			55		—			89
Net income (loss) attributable to Tiptree Inc. Class A common shares - basic	$	(4,443	)	$	6,078	$	(3,343	)	$	11,599
Effect of Dilutive Securities:
Securities of subsidiaries	—			53		—			66
Adjustments to income relating to exchangeable interests, net of tax	—			—		—			—
Net income (loss) attributable to Tiptree Inc. Class A common shares - diluted	$	(4,443	)	$	6,025	$	(3,343	)	$	11,533

Weighted average number of shares of Tiptree Inc. Class A common stock outstanding - basic	28,832,975			34,456,096		28,630,027			34,716,291
Weighted average number of incremental shares of Tiptree Inc. Class A common stock issuable from exchangeable interests and contingent considerations	—			72,881		—			90,450
Weighted average number of shares of Tiptree Inc. Class A common stock outstanding - diluted	28,832,975			34,528,977		28,630,027			34,806,741

Basic:
Net income (loss) attributable to Tiptree Inc. Class A common shares	$	(0.15	)	$	0.18	$	(0.12	)	$	0.33
Diluted:
Net income (loss) attributable to Tiptree Inc. Class A common shares	$	(0.15	)	$	0.17	$	(0.12	)	$	0.33