Net Income (Loss) Per Share Attributable to Class A Common Shareholders (Tables)

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Schedule of Calculations of Basic and Diluted Net Income (Loss) Per Share

The calculations of basic and diluted net income (loss) per share attributable to holders of shares of Class A common stock for the three months ended March 31, 2023 and 2022 are presented below.

		Three Months Ended March 31,
(dollars in thousands, except per share amounts)		2023			2022
Numerator:
Net income (loss) attributable to holders of shares of Class A common stock—basic		$	3,666		$	65,715
Add (deduct) dilutive effect of:
Noncontrolling interests related to Class A partnership units	(a)			(a)
Net income (loss) attributable to holders of shares of Class A common stock—diluted		$	3,666		$	65,715
Denominator:
Weighted average shares of Class A common stock outstanding—basic			67,008,526			64,824,347
Add (deduct) dilutive effect of:
Noncontrolling interests related to Class A partnership units	(a)			(a)
Weighted average number of incremental shares issuable from unvested RSUs and stock options, as calculated using the treasury stock method	(b)		4,454,021	(b)		5,176,126
Weighted average shares of Class A common stock outstanding—diluted			71,462,547			70,000,473
Net income (loss) per share attributable to holders of shares of Class A common stock
Basic		$	0.05		$	1.01
Diluted		$	0.05		$	0.94

We have not included the impact of Class B common stock because these shares are entitled to an insignificant amount of economic participation.

(a) Class A partnership units may be exchanged for Moelis & Company Class A common stock on a one-for-one basis, subject to applicable exchange restrictions. If all Class A partnership units were to be exchanged for Class A common stock, fully diluted Class A common stock outstanding would be 77,557,598 and 76,469,649 shares for the three months

ended March 31, 2023 and 2022, respectively. In computing the dilutive effect, if any, that the aforementioned exchange would have on net income (loss) per share, net income (loss) available to holders of Class A common stock would be adjusted due to the elimination of the noncontrolling interests in consolidated entities associated with the Group LP Class A partnership units (including any tax impact). For the three months ended March 31, 2023 and 2022, such exchange is not reflected in diluted net income (loss) per share as the assumed exchange is not dilutive.

(b) Certain shares of Moelis & Company’s Class A common stock assumed to be issued pursuant to certain RSUs as calculated using the treasury stock method were antidilutive and therefore have been excluded from the calculation of diluted net income (loss) per share attributable to Moelis & Company for certain periods. During the three months ended March 31, 2023 and 2022, there were 1,332,032 and 3,308 RSUs that would have been included in the treasury stock method calculation if the effect were dilutive, respectively.