Earnings Per Share and Weighted-Average Shares Outstanding (Tables)

9 Months Ended

Sep. 30, 2020

The following is the calculation of Newmark’s basic EPS (in thousands, except per share data):


	Three months ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Basic earnings per share:
Net income available to common stockholders (1)	$	72,101	$	85,475	$	75,703	$	118,599
Basic weighted-average shares of common stock outstanding	179,501		177,020		178,527		178,122
Basic earnings per share	$	0.40	$	0.48	$	0.42	$	0.67

(1)Includes a reduction for dividends on preferred stock or exchangeable preferred partnership units in the amount of $3.2 million and $8.1 million for the three and nine months ended September 30, 2020, respectively, and $3.2 million and $9.7 million for the three and nine months ended September 30, 2019, respectively. (see Note 1 — “Organization and Basis of Presentation”).

Schedule of fully diluted earnings per share

The following is the calculation of Newmark’s fully diluted EPS (in thousands, except per share data):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2020		2019		2020		2019
Fully diluted earnings per share:
Net income available to common stockholders	$	72,101	$	85,475	$	75,703	$	118,599
Allocations of net income to limited partnership interests in Newmark Holdings, net of tax	31,522		14,025		34,719		3,780
Net income for fully diluted shares	$	103,623	$	99,500	$	110,422	$	122,379
Weighted-average shares:
Common stock outstanding	179,501		177,020		178,527		178,122
Partnership units (1)	86,912		28,466		86,093		5,661
RSUs (Treasury stock method)	155		786		254		1,231
Newmark exchange shares	225		344		230		399
Fully diluted weighted-average shares of common stock outstanding	266,793		206,616		265,104		185,413
Fully diluted earnings per share	$	0.39	$	0.48	$	0.42	$	0.66

(1)Partnership units collectively include founding/working partner units, limited partnership units, and Cantor and BGC units (see Note 2 — “Limited Partnership Interests in Newmark Holdings and BGC Holdings” for more information).