NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK

9 Months Ended

Sep. 30, 2020

NET INCOME (LOSS) ATTRIBUTABLE TO KKR & CO. INC. PER SHARE OF COMMON STOCK

For the three and nine months ended September 30, 2020 and 2019, basic and diluted Net Income (Loss) attributable to KKR & Co. Inc. per share of common stock were calculated as follows:



	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Net Income (Loss) Attributable to KKR & Co. Inc. Common Stockholders	$	1,056,502	$	241,213	$	466,265	$	1,456,584
(-) Accumulated Series C Mandatory Convertible Preferred Dividend	8,817		—		8,817		—
Net Income (Loss) Available to KKR & Co. Inc. Common Stockholders - Basic	$	1,047,685	$	241,213	$	457,448	$	1,456,584
(+) Accumulated Series C Mandatory Convertible Preferred Dividend (if dilutive)	8,817		—		—		—
Net Income (Loss) Available to KKR & Co. Inc. Common Stockholders - Diluted	$	1,056,502	$	241,213	$	457,448	$	1,456,584



Basic Net Income (Loss) Per Share of Common Stock
Weighted Average Shares of Common Stock Outstanding - Basic	562,425,576		546,336,936		560,124,947		541,631,675
Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock - Basic	$	1.86	$	0.44	$	0.82	$	2.69



Diluted Net Income (Loss) Per Share of Common Stock
Weighted Average Shares of Common Stock Outstanding - Basic	562,425,576		546,336,936		560,124,947		541,631,675
Incremental Common Shares:
Assumed vesting of dilutive equity awards	9,954,502		13,195,129		9,786,034		13,154,681
Assumed conversion of Series C Mandatory Convertible Preferred Stock	16,736,309		—		—		—
Weighted Average Shares of Common Stock Outstanding - Diluted	589,116,387		559,532,065		569,910,981		554,786,356
Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock - Diluted	$	1.79	$	0.43	$	0.80	$	2.63

Net Income Available to KKR & Co. Inc. Common Stockholders - Basic reflects the accumulated undeclared dividends on Series C Mandatory Convertible Preferred Stock of $8.8 million for the three and nine months ended September 30, 2020.

For the three months ended September 30, 2020, the impact of Series C Mandatory Convertible Preferred Stock calculated under the if-converted method was dilutive, and as such (i) 16.7 million shares of common stock (assuming a conversion ratio based on the average volume weighted average price per share of common stock over the 20 consecutive trading day period beginning on, and including, the 21st scheduled trading day immediately prior to September 30, 2020) were included in the Weighted Average Shares of Common Stock Outstanding - Diluted and (ii) $8.8 million of Accumulated Series C Mandatory Convertible Preferred Dividend were excluded from Net Income (Loss) Available to KKR & Co. Inc. Common Stockholders - Diluted.

For the nine months ended September 30, 2020, the impact of the Series C Mandatory Convertible Preferred Stock calculated under the if-converted method was anti-dilutive, and as such 5.6 million shares underlying Series C Mandatory Convertible Preferred Stock (assuming a conversion ratio based on the average volume weighted average price per share of common stock over the 20 consecutive trading day period beginning on, and including, the 21st scheduled trading day immediately prior to September 30, 2020) were excluded from the Weighted Average Shares of Common Stock Outstanding - Diluted.

For the three and nine months ended September 30, 2020 and 2019, Weighted Average Shares of Common Stock Outstanding - Diluted includes unvested equity awards that have been granted under the Amended and Restated KKR & Co. Inc. 2010 Equity Incentive Plan (the "2010 Equity Incentive Plan") and the KKR & Co. Inc. 2019 Equity Incentive Plan (the "2019 Equity Incentive Plan" and, together with the 2010 Equity Incentive Plan, the "Equity Incentive Plans"). Vesting of these equity interests dilute KKR & Co. Inc. and KKR Holdings pro rata in accordance with their respective ownership interests in KKR Group Partnership.

For the three and nine months ended September 30, 2020 and 2019, KKR Holdings units have been excluded from the calculation of Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock - Diluted since the exchange of these units would not dilute KKR's respective ownership interests in the KKR Group Partnership.



	Three Months Ended September 30,		Nine Months Ended September 30,
	2020	2019	2020	2019
Weighted Average KKR Holdings Units	282,692,900	296,248,180	285,757,397	297,624,035

Additionally, for the three and nine months ended September 30, 2020 and 2019, 5.0 million shares of KKR common stock subject to a market price-based vesting condition were excluded from the calculation of Net Income (Loss) Attributable to KKR & Co. Inc. Per Share of Common Stock - Diluted since the vesting conditions have not been satisfied. See Note 12 "Equity Based Compensation."