Annual report pursuant to Section 13 and 15(d)

Earnings Per Share

v2.4.0.8
Earnings Per Share
12 Months Ended
Dec. 31, 2013
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,  
     2011     2012     2013  

Numerator:

      

Net income attributable to Cinemark Holdings, Inc.

   $ 130,557      $ 168,949      $ 148,470   

Earnings allocated to participating share-based awards (1)

     (1,458     (2,061     (1,530
  

 

 

   

 

 

   

 

 

 

Net income attributable to common stockholders

   $ 129,099      $ 166,888      $ 146,940   
  

 

 

   

 

 

   

 

 

 

Denominator (shares in thousands):

      

Basic weighted average common stock outstanding

     112,736        113,216        113,896   

Common equivalent shares for stock options

     41        36        9   

Common equivalent shares for restricted stock units

     447        572        491   
  

 

 

   

 

 

   

 

 

 

Diluted

     113,224        113,824        114,396   
  

 

 

   

 

 

   

 

 

 

Basic earnings per share attributable to common stockholders

   $ 1.15      $ 1.47      $ 1.28   
  

 

 

   

 

 

   

 

 

 

Diluted earnings per share attributable to common stockholders

   $ 1.14      $ 1.47      $ 1.28   
  

 

 

   

 

 

   

 

 

 

 

(1) 

For the years ended December 31, 2011, 2012 and 2013, a weighted average of approximately 1,274 shares, 1,406 shares and 1,198 shares of unvested restricted stock, respectively, are considered participating securities.