Earnings per Share (Tables)

9 Months Ended

Sep. 30, 2023

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

The following table provides a reconciliation of net income 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 September 30,				For the Nine Months Ended September 30,
	2023		2022		2023		2022
Basic Earnings
Income attributable to STWD common stockholders	$	47,435	$	194,562	$	268,252	$	731,448
Less: Income attributable to participating shares not already deducted as non-controlling interests	(1,510)		(2,929)		(4,962)		(15,673)
Basic earnings	$	45,925	$	191,633	$	263,290	$	715,775

Diluted Earnings
Income attributable to STWD common stockholders	$	47,435	$	194,562	$	268,252	$	731,448
Less: Income attributable to participating shares not already deducted as non-controlling interests	(1,510)		(2,929)		(4,962)		(15,673)
Add: Interest expense on Convertible Notes	*		2,906		*		8,724
Add: Undistributed earnings to participating shares	—		1,818		—		11,629
Less: Undistributed earnings reallocated to participating shares	—		(1,763)		—		(11,280)
Diluted earnings	$	45,925	$	194,594	$	263,290	$	724,848

Number of Shares:
Basic — Average shares outstanding	310,268		306,704		309,471		304,908
Effect of dilutive securities — Convertible Notes	*		9,649		*		9,649
Effect of dilutive securities — Contingently issuable shares	—		23		—		23
Effect of dilutive securities — Unvested non-participating shares	298		199		267		161
Diluted — Average shares outstanding	310,566		316,575		309,738		314,741

Earnings Per Share Attributable to STWD Common Stockholders:
Basic	$	0.15	$	0.62	$	0.85	$	2.35
Diluted	$	0.15	$	0.61	$	0.85	$	2.30

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* Our Convertible Notes were not dilutive for the three and nine months ended September 30, 2023.