Earnings Per Share

12 Months Ended

Dec. 31, 2022

Basic earnings per share is computed by dividing net income attributable to MasTec by the weighted average number of common shares outstanding for the period, which excludes non-participating unvested restricted share awards. Diluted earnings per share is computed by dividing net income attributable to MasTec by the weighted average number of fully diluted shares, as calculated primarily under the treasury stock method, which includes the potential effect of dilutive common stock equivalents, such as issued but unvested restricted shares. If the Company reports a loss, rather than income, the computation of diluted loss per share excludes the effect of dilutive common stock equivalents, as their effect would be anti-dilutive.

The following table provides details underlying the Company’s earnings per share calculations for the periods indicated (in thousands):


	For the Years Ended December 31,
	2022		2021		2020
Net income attributable to MasTec:
Net income - basic (a)	$	33,354	$	328,831	$	322,848
Fair value gain (loss) related to resolved contingent payments (b)	$	1,682	$	—	$	—
Net income - diluted (a)	$	31,672	$	328,831	$	322,848
Weighted average shares outstanding:
Weighted average shares outstanding - basic (c)	74,917		72,499		72,799
Dilutive common stock equivalents (d)(e)	1,268		1,442		916
Weighted average shares outstanding - diluted	76,185		73,941		73,715

(a) Basic net income is calculated as total net income or loss less amounts attributable to non-controlling interests. Diluted net income is calculated as total net income or loss, less amounts attributable to non-controlling interests, adjusted for the fair value gain or loss, if any, related to additional contingent payments to the former owners of an acquired business for which the contingency has been resolved as of the respective period. See discussion above and in Note 3 – Acquisitions, Goodwill and Other Intangible Assets, Net.

(b) Represents the fair value gain or loss related to additional contingent payments for which the contingency has been resolved as of December 31, 2022. See Note 3 – Acquisitions, Goodwill and Other Intangible Assets, Net.

(c) For the year ended December 31, 2022, basic shares include approximately 127,000 weighted average shares related to additional contingent payments.

(d) For the years ended December 31, 2022, 2021 and 2020, weighted average anti-dilutive common stock equivalents totaled approximately 255,000, 159,000 and 44,000, respectively. For the year ended December 31, 2022, weighted average anti-dilutive common stock equivalents included approximately 29,200 warrants associated with the IEA acquisition.

(e) For the year ended December 31, 2022, common stock equivalents included approximately 105,000 weighted average shares related to additional contingent

payments to the former owners of an acquired business.

Share repurchases. For the year ended December 31, 2022, the Company repurchased approximately 1,124,000 shares of its common stock under its share repurchase programs, the effect of which on the Company’s weighted average shares outstanding in 2022 was a reduction of approximately 731,000 shares as compared with 2021. There were no share repurchases under the Company’s share repurchase programs for the year ended December 31, 2021. See Note 11 – Equity for details of the Company’s share repurchase transactions.

Shares issued for acquisitions. In the fourth quarter of 2022, the Company issued approximately 2,758,000 shares of its common stock in connection with the October 2022 acquisition of IEA, the effect of which was an increase of approximately 637,000 shares in 2022 as compared with 2021. In December 2021, the Company issued approximately 1,975,000 shares of its common stock in conjunction with the acquisition of HMG, the effect of which in 2021 was insignificant due to the timing of the acquisition. In the second quarter of 2022, the Company issued an additional 133,000 shares in connection with HMG. See Note 3 – Acquisitions, Goodwill and Other Intangible Assets, Net for additional information.