Net Income (Loss) Per Class A Common Share

6 Months Ended

Jun. 30, 2022

Net Income (Loss) Per Class A Common Share

Net Income (Loss) Per Class A Common Share

Note 10  Net Income (Loss) Per Class A Common Share

Basic loss per share is computed by dividing net loss attributable to Enfusion, Inc. by the weighted-average number of shares of Class A common stock outstanding during the period. Diluted loss per share is computed giving effect to all potentially dilutive shares. Diluted loss per share for all periods presented is the same as basic loss per share as the inclusion of potentially issuable shares would be antidilutive.

Prior to the IPO, the Enfusion, LLC membership structure included Common Units and multiple classes of Preferred Units. The Company analyzed the calculation of earnings per unit for periods prior to the IPO using the two-class method and determined that it resulted in values that would not be meaningful to the users of these Condensed Consolidated Financial Statements. Therefore, earnings per share information has not been presented for periods prior to the IPO on October 20, 2021.

A reconciliation of the numerator and denominator used in the calculation of basic and diluted net loss per share of Class A common stock is as follows:

	Three Months		Six Months
(in thousands, except per share amounts)	Ended June 30, 2022		Ended June 30, 2022
Numerator:
Net loss	$	(4,125)	$	(16,649)
Less: Net loss attributable to non-controlling interests		1,703		6,962
Net loss attributable to Enfusion, Inc.		(2,422)		(9,687)
Adjustment to income (loss) attributable to common stockholders		(234)		(978)
Numerator for Basic Earnings per Share	$	(2,656)	$	(10,665)
Denominator:
Weighted-average shares of Class A common stock outstanding		66,287		65,935
Vested shares of Class A common stock and RSUs		18,294		18,054
Weighted-average shares of Class A common stock outstanding--basic		84,581		83,989
Net loss per share of Class A common stock--basic and diluted	$	(0.03)	$	(0.13)

The following number of potentially dilutive shares were excluded from the calculation of diluted loss per share because the effect of including such potentially dilutive shares would have been antidilutive:

	Three Months		Six Months
(in thousands)	Ended June 30, 2022		Ended June 30, 2022
Class B common stock		46,770		47,121
Contingently issuable shares of Class A common stock		406		652
Restricted stock units		3,562		3,561
Stock options		84		84
		50,822		51,418

Shares of Class B common stock do not share in earnings and are not participating securities. Accordingly, separate presentation of loss per share of Class B common stock under the two-class method has not been presented. Shares of Class B common stock are, however, considered potentially dilutive shares of Class A common stock. After evaluating the potential dilutive effect under both the treasury stock method and if-converted method, shares of Class B common stock were determined to be anti-dilutive and have therefore been excluded from the computation of diluted earnings per share of Class A common stock.