XML 34 R24.htm IDEA: XBRL DOCUMENT v3.20.1
NET INCOME (LOSS) PER SHARE
 12 Months Ended
Dec. 31, 2019
Earnings Per Share [Abstract]  
NET INCOME (LOSS) PER SHARE  NET INCOME (LOSS) PER SHARE
Basic net income (loss) per share is calculated by dividing net income (loss) available to Class A common shareholders by the weighted average numbers of shares outstanding during the period. Class C Common Stock is excluded from the weighted average shares outstanding immediately following the Closing Date for the calculation of basic net income per share, as holders of Class C Common Stock are not entitled to any dividends or liquidating distributions.
The Company uses the “if-converted method” to determine the potential dilutive effect of (i) exchanges of outstanding Common Units of Altus Midstream and corresponding shares of its outstanding Class C Common Stock, (ii) earn-out consideration, and (iii) assumed exchange of the outstanding Preferred Units of Altus Midstream for shares of Class A Common Stock. The treasury stock method is used to determine the potential dilutive effect of its outstanding warrants.
The computation of basic and diluted net loss per share for the periods presented in the consolidated financial statements is shown in the table below.
 
For the Year Ended December 31,
 
2019
 
2018(1)
 
2017(1)
 
Loss(2)
 
Shares
 
Per Share
 
Loss
 
Shares
 
Per Share
 
Loss
 
Shares
 
Per Share
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(In thousands, except per share data)
Basic and Diluted:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net loss attributable to Class A common shareholders
$
(369,670
)
 
74,929
 
$
(4.93
)
 
$
(4,388
)
 
173,125
 
$
(0.03
)
 
$
(18,575
)
 
62,259
 
$
(0.30
)

(1)
Shares of Class A Common Stock and Class C Common Stock issued to Apache in exchange for its ownership interests in the Altus Midstream Entities were retroactively restated from May 26, 2016 (inception) to the Closing Date, based on the proportionate value of the capital contributions made by Apache to the Altus Midstream Entities. The calculation of the weighted average shares outstanding from inception up to the Closing Date includes all shares issued to Apache, in order to reflect Apache’s 100 percent economic interest in the Altus Midstream Entities until that time. For further detail of the Business Combination and associated financial statement presentation, see Note 1—Summary of Significant Accounting Policies and Note 2—Recapitalization Transaction.
(2)
Net income attributable to Preferred Unit limited partners increased the net loss attributable to Class A common shareholders for the year ended December 31, 2019.
The diluted earnings per share calculation excludes the effects of the following, since the associated impacts would have been anti-dilutive for all relevant periods presented:
•
An assumed exchange of 250,000,000 shares of outstanding Common Units of Altus Midstream and corresponding shares of its outstanding Class C Common Stock;
•
An assumed exchange of the outstanding Preferred Units of Altus Midstream for shares of Class A Common Stock; and
•
Outstanding warrants of the Company to purchase an aggregate 18,941,631 shares of Class A Common Stock.
Further discussion of the Company’s outstanding common stock, warrants, and earn-out consideration as well as any applicable redemption rights is provided in Note 11—Equity. Further discussion of the Preferred Units and associated embedded features can be found in Note 12—Series A Cumulative Redeemable Preferred Units and Note 15—Fair Value Measurements, respectively. Earn-out consideration granting Apache the right to receive up to 37,500,000 shares of Class A Common Stock is not included in the earnings per share calculation above, as the conditions for issuance were not satisfied as of the year ended December 31, 2019.