Earnings Per Share

Basic earnings per share of Class A common stock is computed by dividing net income attributable to Planet Fitness, Inc. by the weighted-average number of shares of Class A common stock outstanding during the same period. Diluted earnings per share of Class A common stock is computed by dividing net income attributable to Planet Fitness, Inc. by the weighted-average number of shares of Class A common stock outstanding adjusted to give effect to potentially dilutive securities.

Shares of the Company’s Class B common stock do not share in the earnings or losses attributable to Planet Fitness, Inc. and are therefore not participating securities. As such, separate presentation of basic and diluted earnings per share of Class B common stock under the two-class method has not been presented. Shares of the Company’s Class B common stock are, however, considered potentially dilutive shares of Class A common stock because shares of Class B common stock, together with the related Holdings Units, are exchangeable into shares of Class A common stock on a one-for-one basis.

The following table sets forth reconciliations used to compute basic and diluted earnings per share of Class A common stock:



	Three months ended June 30,				Six months ended June 30,
	2018		2017		2018		2017
Numerator
Net income	$	30,418	$	18,004	$	53,912	$	35,870
Less: net income attributable to non-controlling interests	4,544		5,592		8,157		14,616
Net income attributable to Planet Fitness, Inc.	$	25,874	$	12,412	$	45,755	$	21,254
Denominator
Weighted-average shares of Class A common stock outstanding - basic	87,693,377		79,153,778		87,564,596		71,678,755
Effect of dilutive securities:
Stock options	389,994		33,564		351,987		28,893
Restricted stock units	21,960		5,708		14,886		5,121
Weighted-average shares of Class A common stock outstanding - diluted	88,105,331		79,193,050		87,931,469		71,712,769
Earnings per share of Class A common stock - basic	$	0.30	$	0.16	$	0.52	$	0.30
Earnings per share of Class A common stock - diluted	$	0.29	$	0.16	$	0.52	$	0.30

Weighted average shares of Class B common stock of 10,704,794 and 19,197,461 for the three months ended June 30, 2018 and 2017, respectively, and 10,828,471 and 26,745,818 for the six months ended June 30, 2018 and 2017, respectively, were evaluated under the if-converted method for potential dilutive effects and were not determined to be dilutive. Weighted average stock options outstanding of 164,341 and 491,856 for the three months ended June 30, 2018 and 2017, respectively and 82,165 and 302,457 for the six months ended June 30, 2018 and 2017, respectively, were evaluated under the treasury stock method for potential dilutive effects and were determined to be anti-dilutive. Weighted average RSUs outstanding of 1,153 and 0 respectively, and 579 and 0 for the six months ended June 30, 2018 and 2017, respectively, were evaluated under the treasury stock method for potential dilutive effects and were determined to be anti-dilutive.