Earnings Per Share

9 Months Ended

Sep. 30, 2024

15.

Earnings Per Share

Basic earnings per share is calculated using the weighted average number of shares of the Company’s common stock issued and outstanding during a certain period and is calculated by dividing net income attributable to Astrana by the weighted average number of shares of the Company’s common stock issued and outstanding during such period. Diluted earnings per share is calculated using the weighted average number of shares of common stock and potentially dilutive shares of common stock outstanding during the period, using the as-if converted method for secured convertible notes and preferred stock, and the treasury stock method for options and common stock warrants.

As of September 30, 2024 and December 31, 2023, APC held 7,132,698 shares of Astrana’s common stock, which are treated as treasury shares for accounting purposes and not included in the number of shares of common stock outstanding used to calculate earnings per share.

For the three and nine months ended September 30, 2024, there were no restricted stock awards and units excluded from the computation of diluted weighted average common shares outstanding as calculated under the treasury stock method. For the three and nine months ended September 30, 2023, 243,689 of restricted stock awards and units were excluded from the computation of diluted weighted average common shares outstanding because the assumed proceeds, as calculated under the treasury stock method, resulted in these awards being antidilutive.

For the three and nine months ended September 30, 2024, stock options of 155,990 were excluded from the computation of diluted weighted average common shares outstanding because the assumed proceeds, as calculated under the treasury stock method, resulted in these awards being antidilutive. For the three and nine months ended September 30, 2023, stock options of 200,978 were excluded from the computation of diluted weighted average common shares outstanding because the assumed proceeds, as calculated under the treasury stock method, resulted in these awards being antidilutive.

For the three and nine months ended September 30, 2024, contingently issuable shares of 1,085,808 were excluded from the computation of diluted weighted average common shares outstanding because these conditions were not achieved as of September 30, 2024. For the three and nine months ended September 30, 2023, contingently issuable shares of 925,558 were excluded from the computation of diluted weighted average common shares outstanding because these conditions were not achieved as of September 30, 2023.

Below is a summary of the earnings per share computations:


Three months ended September 30,	2024		2023
Earnings per share – basic	$	0.34	$	0.47
Earnings per share – diluted	$	0.33	$	0.47
Weighted average shares of common stock outstanding – basic		47,686,841		46,547,502
Weighted average shares of common stock outstanding – diluted		48,223,788		46,920,607


Nine months ended September 30,	2024		2023
Earnings per share – basic	$	1.05	$	1.04
Earnings per share – diluted	$	1.04	$	1.03
Weighted average shares of common stock outstanding – basic		47,521,368		46,527,350
Weighted average shares of common stock outstanding – diluted		47,960,686		46,881,567

Below is a summary of the shares included in the diluted earnings per share computations:


Three months ended September 30,	2024		2023
Weighted average shares of common stock outstanding – basic		47,686,841		46,547,502
Stock options		169,785		253,767
Restricted stock awards and units		321,348		88,450
Contingently issuable shares		45,814		30,888
Weighted average shares of common stock outstanding – diluted		48,223,788		46,920,607


Nine months ended September 30,	2024		2023
Weighted average shares of common stock outstanding – basic		47,521,368		46,527,350
Stock options		155,309		254,399
Restricted stock awards and units		243,806		89,409
Contingently issuable shares		40,203		10,409
Weighted average shares of common stock outstanding – diluted		47,960,686		46,881,567