Earnings Per Common Share

The following table illustrates the computation of basic and diluted earnings per share (in thousands, except per share amounts):



	Three Months Ended March 31,
	2018			2017
Numerator
Net income (loss) from continuing operations	$	43,237		$	464,177
Noncontrolling interests' share in earnings	(3,005		)	(3,032		)
Net income (loss) attributable to HCP, Inc.	40,232			461,145
Less: Participating securities' share in earnings	(391		)	(770		)
Net income (loss) applicable to common shares	$	39,841		$	460,375
Numerator - Dilutive
Net income (loss) applicable to common shares	$	39,841		$	460,375
Add: distributions on dilutive convertible units and other	—			2,803
Dilutive net income (loss) available to common shares	$	39,841		$	463,178
Denominator
Basic weighted average shares outstanding	469,557			468,299
Dilutive potential common shares - equity awards	138			229
Dilutive potential common shares - DownREIT conversions	—			6,645
Diluted weighted average common shares	469,695			475,173
Earnings per common share:
Basic	$	0.08		$	0.98
Diluted	$	0.08		$	0.97

Restricted stock and certain performance restricted stock units are considered participating securities, because dividend payments are not forfeited even if the underlying award does not vest, and require use of the two-class method when computing basic and diluted earnings per share.

For the three months ended March 31, 2018, 7 million shares issuable upon conversion of 4 million DownREIT units were not included because they are anti-dilutive.