Earnings per Share / Unit (Tables)

12 Months Ended

Dec. 31, 2023

Computation of Net Income per Share on Basic and Diluted Basis

American Homes 4 Rent

The following table reflects the Company’s computation of net income per common share on a basic and diluted basis for the years ended December 31, 2023, 2022 and 2021 (amounts in thousands, except share and per share data):


	For the Years Ended December 31,
	2023		2022		2021
Numerator:
Net income	$	432,142	$	310,025	$	210,559
Less:
Noncontrolling interest	51,974		36,887		21,467
Dividends on preferred shares	13,944		17,081		37,923
Redemption of perpetual preferred shares	—		5,276		15,879
Allocation to participating securities (1)	1,083		767		418
Numerator for income per common share–basic and diluted	$	365,141	$	250,014	$	134,872

Denominator:
Weighted-average common shares outstanding–basic	362,024,968		349,290,848		324,245,168
Effect of dilutive securities:
Share-based compensation plan and forward sale equity contracts (2)	452,248		496,244		1,273,123
Weighted-average common shares outstanding–diluted (3)	362,477,216		349,787,092		325,518,291

Net income per common share:
Basic	$	1.01	$	0.72	$	0.42
Diluted	$	1.01	$	0.71	$	0.41

(1)Unvested RSUs that have nonforfeitable rights to participate in dividends declared on common stock are accounted for as participating securities and reflected in the calculation of basic and diluted earnings per share using the two-class method.

(2)Reflects the effect of potentially dilutive securities issuable upon the assumed exercise of stock options and vesting of PSUs under the treasury stock method for the years ended December 31, 2023, 2022 and 2021 and the dilutive effect of forward sale equity contracts under the treasury stock method for the years ended December 31, 2022 and 2021 (see Note 9. Shareholders’ Equity / Partners’ Capital).

(3)The effect of the potential conversion of OP units is not reflected in the computation of basic and diluted earnings per share, as they are exchangeable for Class A common shares on a one-for-one basis. The income allocable to the OP units is allocated on this same basis and reflected as noncontrolling interest in the accompanying consolidated financial statements. As such, the assumed conversion of the OP units would have no net impact on the determination of diluted earnings per share.

American Homes 4 Rent, L.P.

The following table reflects the Operating Partnership’s computation of net income per common unit on a basic and diluted basis for the years ended December 31, 2023, 2022 and 2021 (amounts in thousands, except unit and per unit data):


	For the Years Ended December 31,
	2023		2022		2021
Numerator:
Net income	$	432,142	$	310,025	$	210,559
Less:
Preferred distributions	13,944		17,081		37,923
Redemption of perpetual preferred units	—		5,276		15,879
Allocation to participating securities (1)	1,083		767		418
Numerator for income per common unit–basic and diluted	$	417,115	$	286,901	$	156,339

Denominator:
Weighted-average common units outstanding–basic	413,401,948		400,667,828		375,693,107
Effect of dilutive securities:
Share-based compensation plan and forward sale equity contracts (2)	452,248		496,244		1,273,123
Weighted-average common units outstanding–diluted	413,854,196		401,164,072		376,966,230

Net income per common unit:
Basic	$	1.01	$	0.72	$	0.42
Diluted	$	1.01	$	0.71	$	0.41