Note 16 – Earnings Per Share

In accordance with U.S. GAAP, basic earnings per share is computed by dividing net income (loss) attributable to Superior, after adjusting for preferred dividends and European non-controlling redeemable equity translation and dividend, by the weighted average number of common shares outstanding. For purposes of calculating diluted earnings per share, net income (loss) attributable to Superior is divided by the total of the weighted average shares outstanding plus the dilutive effect of our redeemable preferred stock, outstanding stock options and time and performance based restricted stock units under the treasury stock method.


(Dollars and shares in thousands, except per share amounts)	Three Months Ended						Six Months Ended
	June 30, 2018			June 25, 2017			June 30, 2018			June 25, 2017
Basic Earnings Per Share:
Reported net income (loss) attributable to Superior	$	8,135		$	(7,272	)	$	18,452		$	(4,170	)
Less: Redeemable preferred stock dividends and accretion		(8,135	)		(2,882	)		(16,204	)		(2,882	)
Less: European non-controlling redeemable equity dividend		(511	)		—			(1,084	)		—
Add: European non-controlling redeemable equity translation adjustment		2,851			—			2,851			—

Basic numerator	$	2,340		$	(10,154	)	$	4,015		$	(7,052	)

Basic earnings (loss) per share	$	0.09		$	(0.41	)	$	0.16		$	(0.28	)

Weighted average shares outstanding-Basic		25,001			24,908			24,969			24,961

Diluted Earnings Per Share:
Reported net income (loss) attributable to Superior	$	8,135		$	(7,272	)	$	18,452		$	(4,170	)
Less: Redeemable preferred stock dividends and accretion		(8,135	)		(2,882	)		(16,204	)		(2,882	)
Less: European non-controlling redeemable equity dividend		(511	)		—			(1,084	)		—
Add: European non-controlling redeemable equity translation adjustment		2,851			—			2,851			—

Diluted numerator	$	2,340		$	(10,154	)	$	4,015		$	(7,052	)

Diluted earnings (loss) per share	$	0.09		$	(0.41	)	$	0.16		$	(0.28	)

Weighted average shares outstanding-Basic		25,001			24,908			24,969			24,961
Weighted average dilutive stock options and restricted stock units		52			—			39			—

Weighted average shares outstanding-Diluted		25,053			24,908			25,008			24,961

For the first half of 2018, options to purchase 51,250 shares at prices ranging from $16.32 to $22.57 were excluded from the diluted earnings per share because they would have been anti-dilutive, as their exercise prices exceeded the average market prices for the period. The performance shares discussed in Note 19, “Stock-Based Compensation” are not included in the diluted earnings per share because the performance metrics had not been met as of the period ended June 30, 2018. The redeemable preferred shares discussed in Note 14, “Redeemable Preferred Shares” are not included in the diluted earnings per share because the conversion would be anti-dilutive as of the period ended June 30, 2018.