EARNINGS PER SHARE

3 Months Ended

Mar. 31, 2024

3.	EARNINGS PER SHARE

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


Quarters Ended March 31,	2024		2023
Basic Earnings per Share:
Net income attributable to Watsco, Inc. shareholders	$	87,004	$	110,073
Less: distributed and undistributed earnings allocated to restricted common stock		6,836		7,414

Earnings allocated to Watsco, Inc. shareholders	$	80,168	$	102,659


Weighted-average common shares outstanding – Basic		36,875,549		36,192,597
Basic earnings per share for Common and Class B common stock	$	2.17	$	2.84
Allocation of earnings for Basic:
Common stock	$	73,166	$	93,489
Class B common stock		7,002		9,170

	$	80,168	$	102,659

Diluted Earnings per Share:
Net income attributable to Watsco, Inc. shareholders	$	87,004	$	110,073
Less: distributed and undistributed earnings allocated to restricted common stock		6,836		7,411

Earnings allocated to Watsco, Inc. shareholders	$	80,168	$	102,662


Weighted-average common shares outstanding – Basic		36,875,549		36,192,597
Effect of dilutive stock options		123,999		109,231

Weighted-average common shares outstanding – Diluted		36,999,548		36,301,828

Diluted earnings per share for Common and Class B common stock	$	2.17	$	2.83

Anti-dilutive stock options not included above		46,456		169,916

Diluted earnings per share for our Common stock assumes the conversion of all 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 March 31, 2024 and 2023, our outstanding Class B common stock was convertible into 3,220,567 and 3,232,844 shares of our Common stock, respectively.