Earnings per share

3 Months Ended

Mar. 31, 2017

Earnings per share. The Company’s basic earnings per share (EPS) attributable to Stewart is calculated by dividing net income attributable to Stewart by the weighted-average number of shares of Common Stock outstanding during the reporting periods. Outstanding shares of Common Stock granted to employees that are not yet vested (restricted shares) are excluded from the calculation of the weighted-average number of shares outstanding for calculating basic EPS. To calculate diluted EPS, the number of shares is adjusted for the effects of any dilutive shares. The treasury stock method is used to calculate the dilutive number of shares related to the Company’s long term incentive and stock option plans. In periods of loss, dilutive shares are excluded from the calculation of the diluted EPS and diluted EPS is computed in the same manner as basic EPS.

The calculation of the basic and diluted EPS is as follows:



	For the Three Months Ended March 31,
	2017	2016
	($000 omitted, except per share)
Numerator:
Net income (loss) attributable to Stewart	4,087	(11,194	)

Denominator (000):
Basic average shares outstanding	23,433	23,348
Average number of dilutive shares relating to grants of restricted shares	136	—
Diluted average shares outstanding	23,569	23,348

Basic earnings (loss) per share attributable to Stewart	0.17	(0.48	)

Diluted earnings (loss) per share attributable to Stewart	0.17	(0.48	)