Earnings Per Share

3 Months Ended

Mar. 31, 2022

Earnings Per Share [Abstract]

Earnings Per Share

Note 8. Earnings Per Share

The following table sets forth reconciliations of the numerators and denominators used to compute basic and diluted net income per share of Class A and Class D common stock for the periods following the Transactions (in thousands, except per share amounts):

	Three Months Ended March 31, 2022
Numerator:
Net income	$	528
Less: Net income attributable to non-controlling interests		130
Net income attributable to Clearwater Analytics Holdings, Inc. - basic		398
Reallocation of net income attributable to non-controlling interests from the assumed exchange of Class B and Class C stock for Class A and Class D stock		130
Net income attributable to Clearwater Analytics Holdings, Inc. - diluted	$	528

The following table sets forth the computation of basic and diluted net income per share of Class A and Class D common stock (in thousands, except per share amounts):

	Three Months Ended March 31, 2022
	Class A		Class D
Basic net income attributable to Class A and Class D common stockholders
Numerator:
Allocation of net income attributable to Clearwater Analytics, Inc.	$	108	$	290
Denominator:
Weighted average number of shares of Class A and Class D common stock outstanding - basic		48,433,725		130,083,755
Basic net income per share attributable to Class A and Class D common stockholders	$	0.00	$	0.00

	Three Months Ended March 31, 2022
	Class A		Class D
Diluted net income attributable to Class A and Class D common stockholders
Numerator:
Undistributed earnings for basic computation	$	108	$	290
Reallocation of income as a result of conversion of Class B to Class A shares and conversion Class C to Class D shares		25		105
Reallocation of income as a result of conversion of Class D to Class A shares		395		—
Allocation of undistributed income	$	528	$	395
Denominator:
Weighted average number of shares of Class A and Class D common stock outstanding - basic		48,433,725		130,083,755
Add: weighted-average effect of dilutive securities exchangeable for Class A common stock:
Stock options of Clearwater Analytics Holdings, Inc.		8,763,651		—
RSUs of Clearwater Analytics Holdings, Inc.		1,106,835		—
Conversion of Class B stock to Class A stock, and conversion of Class C stock to Class D stock		11,151,110		47,377,587
Conversion of Class D to Class A common stock outstanding		177,461,342		—
Weighted average number of shares of Class A and Class D common stock outstanding - diluted		246,916,663		177,461,342
Diluted net income per share attributable to Class A and Class D common stockholders	$	0.00	$	0.00

Shares of the Company's Class B and Class C common stock do not participate in the earnings or losses of Clearwater Analytics Holdings, Inc. and are therefore not participating securities. As such, separate presentation of basic and diluted earnings per share of Class B and Class C common stock under the two-class method has not been presented.