The following is a reconciliation of the numerator and denominator of basic and diluted earnings (loss) per share for the three and nine months ended September 30, 2017 and 2016:

(In thousands except per share data)	Three Months Ended September 30,					Nine Months Ended September 30,
	2017		2016			2017		2016
Numerator:
Net income from continuing operations attributable to Tivity Health, Inc. - numerator for earnings per share	$	19,886		$	4,799	$	52,607	$	43,967
Net income (loss) from discontinued operations attributable to Tivity Health, Inc. - numerator for loss per share		6,519			48,995		2,625		(179,978	)
Net income (loss) attributable to Tivity Health, Inc. - numerator for earnings (loss) per share	$	26,405		$	53,794	$	55,232	$	(136,011	)

Denominator:
Shares used for basic income (loss) per share		39,443			37,037		39,254		36,441
Effect of dilutive stock options and restricted stock units outstanding:
Non-qualified stock options		464			554		463		367
Restricted stock units		538			619		583		551
Market stock units		535			195		486		140
Warrants related to Cash Convertible Notes		2,547			—		1,467		—
CareFirst Warrants		—			16		—		6
Shares used for diluted income (loss) per share		43,527			38,421		42,253		37,505

Earnings (loss) per share attributable to Tivity Health, Inc. - basic:
Continuing operations	$	0.50		$	0.13	$	1.34	$	1.21
Discontinued operations	$	0.17		$	1.32	$	0.07	$	(4.94	)
Net income (loss)	$	0.67		$	1.45	$	1.41	$	(3.73	)

Earnings (loss) per share attributable to Tivity Health, Inc. - diluted:
Continuing operations	$	0.46		$	0.12	$	1.25	$	1.17
Discontinued operations	$	0.15		$	1.28	$	0.06	$	(4.80	)
Net income (loss)	$	0.61		$	1.40	$	1.31	$	(3.63	)

Dilutive securities outstanding not included in the computation of earnings (loss) per share because their effect is anti-dilutive:
Non-qualified stock options		—			82		5		581
Restricted stock units		10			20		10		148
Warrants related to Cash Convertible Notes		—			7,707		—		7,707
CareFirst Convertible Note		—			892		—		892