EARNINGS PER SHARE

6 Months Ended

Jun. 30, 2016

2. EARNINGS PER SHARE

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


	Quarter Ended June 30,				Six Months Ended June 30,
	2016		2015		2016		2015
Basic Earnings per Share:
Net income attributable to Watsco, Inc. shareholders	$	64,621	$	65,423	$	90,158	$	88,471
Less: distributed and undistributed earnings allocated to non-vested restricted common stock		5,254		5,183		7,304		6,922

Earnings allocated to Watsco, Inc. shareholders	$	59,367	$	60,240	$	82,854	$	81,549


Weighted-average common shares outstanding – Basic		32,574,901		32,427,088		32,543,354		32,402,262
Basic earnings per share for Common and Class B common stock	$	1.82	$	1.86	$	2.55	$	2.52
Allocation of earnings for Basic:
Common stock	$	54,411	$	55,179	$	75,930	$	74,692
Class B common stock		4,956		5,061		6,924		6,857

	$	59,367	$	60,240	$	82,854	$	81,549

Diluted Earnings per Share:
Net income attributable to Watsco, Inc. shareholders	$	64,621	$	65,423	$	90,158	$	88,471
Less: distributed and undistributed earnings allocated to non-vested restricted common stock		5,251		5,179		7,302		6,917

Earnings allocated to Watsco, Inc. shareholders	$	59,370	$	60,244	$	82,856	$	81,554


Weighted-average common shares outstanding – Basic		32,574,901		32,427,088		32,543,354		32,402,262
Effect of dilutive stock options		31,435		50,174		32,972		52,036

Weighted-average common shares outstanding – Diluted		32,606,336		32,477,262		32,576,326		32,454,298

Diluted earnings per share for Common and Class B common stock	$	1.82	$	1.85	$	2.54	$	2.51
Anti-dilutive stock options not included above		714		2,363		16,363		54,535

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; therefore, no allocation of earnings to Class B common stock is required. At June 30, 2016 and 2015, our outstanding Class B common stock was convertible into 2,719,495 and 2,724,464 shares of our Common stock, respectively.