Landsea Homes Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Earnings Per Share

Earnings Per Share

3 Months Ended

Mar. 31, 2021

Earnings Per ShareWe use the treasury stock method to calculate earnings per share ("EPS") as our currently issued Warrants do not have participating rights.

The following table sets forth the computation of basic and diluted EPS for the three months ended March 31, 2021 and 2020:


	Three Months Ended March 31,
	2021		2020
	(dollars in thousands, except share and per share amounts)
Numerator
Net (loss) attributable to Landsea Homes Corporation	$	(7,074)	$	(2,536)



Denominator
Weighted average common shares outstanding - basic	45,167,513		32,557,303
Adjustment for weighted average participating shares outstanding	(922,222)		—
Adjustment for weighted average shares vested but awaiting issuance	556		—
Adjusted weighted average common shares outstanding under two class method - basic	44,245,847		32,557,303
Dilutive effect of warrants	—		—
Adjusted weighted average common shares outstanding under two class method - diluted	44,245,847		32,557,303

Earnings per share
Basic and diluted	$	(0.16)	$	(0.08)

Warrants are excluded from the calculation of diluted EPS as they are antidilutive. We excluded 7.1 million common stock unit equivalents from our diluted EPS during the three months ended March 31, 2021 and 2020.