Net Income (Loss) Per Class A Common Share

3 Months Ended

Mar. 31, 2023

Net Income (Loss) Per Class A Common Share

Net Income (Loss) Per Class A Common Share

Note 9  Net Income (Loss) Per Class A Common Share

Basic income (loss) per share is computed by dividing net income (loss) attributable to Enfusion, Inc. by the weighted-average number of shares of Class A common stock outstanding during the period. Diluted loss per share is computed giving effect to all potentially dilutive shares.

A reconciliation of the numerator and denominator used in the calculation of basic and diluted net income (loss) per share of Class A common stock is as follows:

	Three Months Ended March 31,
(in thousands, except per share amounts)	2023		2022
Net income (loss)	$	4,694	$	(12,524)
Less: Net (income) loss attributable to non-controlling interests		(1,749)		5,259
Net income (loss) attributable to Enfusion, Inc.	$	2,945	$	(7,265)
Numerator:
Net income (loss) attributable to Enfusion, Inc.	$	2,945	$	(7,265)
Adjustment to income (loss) attributable to common stockholders		226		(716)
Numerator for Basic Earnings per Share	$	3,171	$	(7,981)
Adjustment to Income for Dilutive Shares		1,523		-
Numerator for Diluted Earnings per Share	$	4,694	$	(7,981)
Denominator:
Weighted-average shares of Class A common stock outstanding		72,272		65,583
Vested shares of Class A common stock and RSUs		16,591		17,801
Weighted-average shares of Class A common stock outstanding--basic		88,863		83,384
Add: Dilutive Shares		43,483		-
Weighted-average shares of Class A common stock outstanding--diluted		132,346		83,384
Net income (loss) per share of Class A common stock--Basic	$	0.04	$	(0.10)
Net income (loss) per share of Class A common stock--Diluted	$	0.04	$	(0.10)

The following number of potentially dilutive shares were excluded from the calculation of diluted income (loss) per share because the effect of including such potentially dilutive shares would have been antidilutive:

	Three Months Ended March 31,
(in thousands)	2023		2022
Class B common stock		-		47,471
Contingently issuable shares of Class A common stock		-		893
Restricted stock units		110		2,857
Stock options		84		-
		194		51,221

Shares of Class B common stock do not share in earnings and are not participating securities. Accordingly, separate presentation of loss per share of Class B common stock under the two-class method has not been presented. Shares of Class B common stock are, however, considered potentially dilutive shares of Class A common stock. After evaluating the potential dilutive effect under both the treasury stock method and if-converted method, shares of Class B common stock were determined to be dilutive for the three months ended March 31, 2023, and have therefore been included in the computation of diluted earnings per share of Class A common stock. However, for the three months ended March 31, 2022, shares of Class B common stock were determined to be anti-dilutive, and have therefore been excluded from the computation of diluted earnings per share of Class A common stock.