Annual report pursuant to Section 13 and 15(d)

Earnings Per Share

v2.4.0.6
Earnings Per Share
12 Months Ended
Dec. 31, 2011
Earnings Per Share [Abstract]  
EARNINGS PER SHARE

3.    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 and unvested restricted 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,  
    2009     2010     2011  

Numerator:

                       

Net income attributable to Cinemark Holdings, Inc.

  $ 97,108     $ 146,120     $ 130,557  

Earnings allocated to participating share-based awards (1)

    (635     (1,399     (1,458
   

 

 

   

 

 

   

 

 

 

Net income attributable to common stockholders

  $ 96,473     $ 144,721     $ 129,099  
   

 

 

   

 

 

   

 

 

 

Denominator (shares in thousands):

                       

Basic weighted average common stock outstanding

    108,563       111,565       112,736  

Common equivalent shares for stock options

    1,594       213       41  

Common equivalent shares for restricted stock units

    98       373       447  
   

 

 

   

 

 

   

 

 

 

Diluted

    110,255       112,151       113,224  
   

 

 

   

 

 

   

 

 

 

Basic earnings per share attributable to common stockholders

  $ 0.89     $ 1.30     $ 1.15  
   

 

 

   

 

 

   

 

 

 

Diluted earnings per share attributable to common stockholders

  $ 0.87     $ 1.29     $ 1.14  
   

 

 

   

 

 

   

 

 

 

 

(1) 

For the years ended December 31, 2009, 2010 and 2011, a weighted average of approximately 714 shares, 1,076 shares and 1,274 shares of unvested restricted stock, respectively, are considered participating securities.