EARNINGS PER SHARE

12 Months Ended

Dec. 31, 2017

16. EARNINGS PER SHARE

The calculation of earnings per share is as follows:

	Year ended December 31,
	2015		2016		2017
Numerator used in basic and diluted earnings per share:
Net income attributable to Daqo New Energy Corp. ordinary shareholders—basic and diluted	$	12,956,889	$	43,493,756	$	92,841,128
Denominator used in basic and diluted earnings per share:
Weighted average number of ordinary shares outstanding used in computing earnings per share-basic		258,015,851		261,742,244		265,070,961
Plus: Dilutive effects of share options		3,396,082		3,075,511		6,020,839
Dilutive effects of RSUs		-		-		1,834,519
Weighted average number of ordinary shares outstanding used in computing earnings per share—diluted		261,411,933		264,817,755		272,926,319
NET INCOME ATTRIBUTABLE TO DAQO NEW ENERGY CORP. PER ORDINARY SHARE—Basic	$	0.05	$	0.17	$	0.35
NET INCOME ATTRIBUTABLE TO DAQO NEW ENERGY CORP. PER ORDINARY SHARE—Diluted	$	0.05		0.16		0.34

Outstanding number of share options totaling of 12,563,541, 10,899,141 and 263,900 were excluded from the computation of diluted earnings per share as their effects would have been anti-dilutive for the years ended December 31, 2015, 2016 and 2017, respectively.