| Computation of basic and diluted earnings per share |
The following table sets forth the computation of basic and diluted earnings per share available for common stockholders (in thousands, except per share data):
| | | | | | | | | | | | | | | | | | For the Three | | For the Nine | | Months Ended | | Months Ended | | September 30, | | September 30, | | 2016 | | 2015 | | 2016 | | 2015 | Net income (loss) | $ | (15,775 | ) | | $ | (17,088 | ) | | $ | (201,585 | ) | | $ | 328,081 |
| Less: | | | | | | | | Net income (loss) attributable to non-controlling interests | (4,567 | ) | | (5,108 | ) | | (59,250 | ) | | (8,532 | ) | Undeclared cumulative preferred dividends | — |
| | — |
| | — |
| | 2,184 |
| Net income (loss) available for common shareholders - Basic | (11,208 | ) | | (11,980 | ) | | (142,335 | ) | | 334,429 |
| Add: | | | | | | | | Net income (loss) attributable to non-controlling interests | — |
| | — |
| | — |
| | (8,532 | ) | Undeclared cumulative preferred dividends converted during the period | — |
| | — |
| | — |
| | 2,184 |
| Net income (loss) available for common shareholders - Diluted (1) (2) | $ | (11,208 | ) | | $ | (11,980 | ) | | $ | (142,335 | ) | | $ | 328,081 |
| | | | | | | | | | | | | | | | | Weighted-average common shares outstanding - Basic | 43,110 |
| | 41,468 |
| | 42,632 |
| | 19,618 |
| Dilutive effect of restricted stock | — |
| | — |
| | — |
| | 19 |
| Dilutive effect of options | — |
| | — |
| | — |
| | 1,623 |
| Assumed conversion of convertible preferred stock at beginning-of-period | — |
| | — |
| | — |
| | 12,563 |
| Assumed conversion of Class B common shares to Class A common shares | — |
| | — |
| | — |
| | 7,575 |
| Weighted-average common shares outstanding - Diluted (2)(3) | 43,110 |
| | 41,468 |
| | 42,632 |
| | 41,398 |
| | | | | | | | | Earnings (Loss) per Common Share | | | | | | | | Basic | $ | (0.26 | ) | | $ | (0.29 | ) | | $ | (3.34 | ) | | $ | 17.05 |
| Diluted | (0.26 | ) | | (0.29 | ) | | (3.34 | ) | | 7.93 |
|
| | (1) | For periods of net loss, net income (loss) available for common shareholders is the same for both basic and diluted purposes. |
| | (2) | Each Class B common unit of Evolent Health LLC can be exchanged (together with a corresponding number of shares of our Class B common stock) for one share of our Class A common stock. As holders exchange their Class B common shares for Class A common shares, our interest in Evolent Health LLC will increase. Therefore, shares of our Class B common stock are not considered dilutive shares for the purposes of calculating our diluted earnings (loss) per common share as related adjustment to net income (loss) available for common shareholders would equally offset the additional shares, resulting in the same earnings (loss) per common share. |
| | (3) | For periods of net loss, shares used in the earnings (loss) per common share calculation represent basic shares as using diluted shares would be anti-dilutive. |
|
| Schedule of antidilutive securities excluded from computation of earnings per share |
Anti-dilutive shares (in thousands) excluded from the calculation of weighted-average common shares presented above are presented below:
| | | | | | | | | | | | | | For the Three | | For the Nine | | Months Ended | | Months Ended | | September 30, | | September 30, | | 2016 | | 2015 | | 2016 | | 2015 | Exchangeable Class B common stock | 17,145 |
| | 17,525 |
| | 17,397 |
| | — |
| Restricted stock units ("RSU") | 416 |
| | 55 |
| | 196 |
| | — |
| Options | 3,193 |
| | 1,847 |
| | 1,672 |
| | — |
| Total | 20,754 |
| | 19,427 |
| | 19,265 |
| | — |
|
|