Earnings per Share (Tables)

6 Months Ended

Jun. 30, 2021

Reconciliation of Net Income and Number of Shares Used in Computation of Earnings Per Share

The following table provides a reconciliation of net income (loss) and the number of shares of common stock used in the computation of basic EPS and diluted EPS (amounts in thousands, except per share amounts):


	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2021		2020		2021		2020
Basic Earnings
Income attributable to STWD common stockholders	$	116,310	$	139,656	$	227,688	$	72,887
Less: Income attributable to participating shares not already deducted as non-controlling interests	(1,791)		(1,143)		(3,716)		(2,365)
Basic earnings	$	114,519	$	138,513	$	223,972	$	70,522

Diluted Earnings
Income attributable to STWD common stockholders	$	116,310	$	139,656	$	227,688	$	72,887
Less: Income attributable to participating shares not already deducted as non-controlling interests	(1,791)		(1,143)		(3,716)		(2,365)
Add: Interest expense on Convertible Notes	2,900		3,051		5,816		*
Add: Undistributed earnings to participating shares	—		120		$	—	—
Less: Undistributed earnings reallocated to participating shares	—		(116)		$	—	—
Diluted earnings	$	117,419	$	141,568	$	229,788	$	70,522

Number of Shares:
Basic — Average shares outstanding	284,710		281,461		284,018		281,225
Effect of dilutive securities — Convertible Notes	9,649		9,649		9,649		*
Effect of dilutive securities — Contingently issuable shares	95		183		95		215
Effect of dilutive securities — Unvested non-participating shares	117		—		46		—
Diluted — Average shares outstanding	294,571		291,293		293,808		281,440

Earnings Per Share Attributable to STWD Common Stockholders:
Basic	$	0.40	$	0.49	$	0.79	$	0.25
Diluted	$	0.40	$	0.49	$	0.78	$	0.25

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*Our Convertible Notes were not dilutive for the six months ended June 30, 2020.