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Earnings Per Share
 3 Months Ended
Mar. 31, 2012
Earnings Per Share [Abstract]  
Earnings Per Share
2. EARNINGS PER SHARE

The following table presents the calculation of basic and diluted earnings per common share for our Common and Class B common stock:

 

Quarters Ended March 31,

   2012     2011  

Basic Earnings per Share:

    

Net income attributable to Watsco, Inc. shareholders

   $ 8,466      $ 7,500   

Less: distributed and undistributed earnings allocated to non-vested (restricted) common stock

     1,408        1,152   
 

 

 

    

 

 

  

Earnings allocated to Watsco, Inc. shareholders

   $ 7,058      $ 6,348   
 

 

 

    

 

 

  

Weighted-average Common and Class B common shares outstanding for basic earnings per share

     30,756,626        30,601,573   

Basic earnings per share for Common and Class B common stock

   $ 0.23      $ 0.21   

Allocation of earnings for Basic:

    

Common stock

   $ 6,405      $ 5,755   

Class B common stock

     653        593   
 

 

 

    

 

 

  
  $ 7,058      $ 6,348   
 

 

 

    

 

 

  

Diluted Earnings per Share:

    

Net income attributable to Watsco, Inc. shareholders

   $ 8,466      $ 7,500   

Less: distributed and undistributed earnings allocated to non-vested (restricted) common stock

     1,408        1,152   
 

 

 

    

 

 

  

Earnings allocated to Watsco, Inc. shareholders

   $ 7,058      $ 6,348   
 

 

 

    

 

 

  

Weighted-average Common and Class B common shares outstanding for basic earnings per share

     30,756,626        30,601,573   

Effect of dilutive stock options

     77,842        92,779   
 

 

 

    

 

 

  

Weighted-average Common and Class B common shares outstanding for diluted earnings per share

     30,834,468        30,694,352   
 

 

 

    

 

 

  

Diluted earnings per share for Common and Class B common stock

   $ 0.23      $ 0.21   

Diluted earnings per share for our Common stock assumes the conversion of all of our Class B common stock into Common stock as of the beginning of the fiscal year and adjusts for the dilutive effects of outstanding stock options using the treasury stock method; therefore, no allocation of earnings to Class B common stock is required. As of March 31, 2012 and 2011, our outstanding Class B common stock was convertible into 2,846,334 and 2,858,442 shares of our Common stock, respectively.

Diluted earnings per share excluded 7,628 shares for the quarter ended March 31, 2011 related to stock options with an exercise price per share greater than the average market value, resulting in an anti-dilutive effect on diluted earnings per share. No shares were excluded from diluted earnings per share for the quarter ended March 31, 2012 related to stock options.