Earnings Per Share

3 Months Ended

Mar. 31, 2020

Earnings Per Share – Company

Basic earnings per share is computed using net income attributable to common stockholders and the weighted average number of shares of the Company’s common stock outstanding during the period. Diluted earnings per share reflects common shares issuable from the assumed conversion of American Campus Communities Operating Partnership Units (“OP Units”) and common share awards granted. Only those items having a dilutive impact on basic earnings per share are included in diluted earnings per share.

The following potentially dilutive securities were outstanding for the three months ended March 31, 2020 and 2019, but were not included in the computation of diluted earnings per share because the effects of their inclusion would be anti-dilutive.



	Three Months Ended March 31,
	2020	2019
Common OP Units (Note 8)	468,475	594,788
Preferred OP Units (Note 8)	35,242	64,361
Total potentially dilutive securities	503,717	659,149

The following is a summary of the elements used in calculating basic and diluted earnings per share:



	Three Months Ended March 31,
	2020			2019
Numerator – basic and diluted earnings per share:
Net income	$	82,061		$	31,368
Net income attributable to noncontrolling interests	(1,206		)	(1,728		)
Net income attributable to ACC, Inc. and Subsidiaries common stockholders	80,855			29,640
Amount allocated to participating securities	(662		)	(573		)
Net income attributable to common stockholders	$	80,193		$	29,067

Denominator:
Basic weighted average common shares outstanding	137,477,169			137,101,535
Unvested restricted stock awards (Note 9)	1,110,344			1,050,843
Diluted weighted average common shares outstanding	138,587,513			138,152,378

Earnings per share:
Net income attributable to common stockholders - basic and diluted	$	0.58		$	0.21

Earnings per Unit – Operating Partnership

Basic earnings per OP Unit is computed using net income attributable to common unitholders and the weighted average number of common units outstanding during the period. Diluted earnings per OP Unit reflects the potential dilution that could occur if securities or other contracts to issue OP Units were exercised or converted into OP Units or resulted in the issuance of OP Units and then shared in the earnings of the Operating Partnership.

The following is a summary of the elements used in calculating basic and diluted earnings per unit:



	Three Months Ended March 31,
	2020			2019
Numerator – basic and diluted earnings per unit:
Net income	$	82,061		$	31,368
Net income attributable to noncontrolling interests – partially owned properties	(916		)	(1,568		)
Series A preferred unit distributions	(14		)	(31		)
Amount allocated to participating securities	(662		)	(573		)
Net income attributable to common unitholders	$	80,469		$	29,196

Denominator:
Basic weighted average common units outstanding	137,945,644			137,696,323
Unvested restricted stock awards (Note 9)	1,110,344			1,050,843
Diluted weighted average common units outstanding	139,055,988			138,747,166



Earnings per unit:
Net income attributable to common unitholders - basic and diluted	$	0.58	$	0.21