XML 21 R11.htm IDEA: XBRL DOCUMENT
v3.22.2.2

EARNINGS PER SHARE | 9 Months Ended
--- | ---
Sep. 30, 2022
Earnings Per Share [Abstract] |
EARNINGS PER SHARE | EARNINGS PER SHARE Basic earnings per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of common shares of beneficial interest (“common shares”) outstanding during the period. Centerspace has issued restricted stock units (“RSUs”) and incentive stock options (“ISOs”) under the 2015 Incentive Plan, Series D Convertible Preferred Units (“Series D preferred units”), and Series E Convertible Preferred Units (“Series E preferred units”), which could have a dilutive effect on the earnings per share upon exercise of the RSUs or ISOs or upon conversion of the Series D or Series E preferred units (refer to Note 4 for further discussion of the Series D and the Series E preferred units). Other than the issuance of RSUs, ISOs, Series D preferred units, and Series E preferred units, there are no outstanding options, warrants, convertible stock or other contractual obligations requiring issuance of additional shares that would result in dilution of earnings. Under the terms of the Operating Partnership’s Agreement of Limited Partnership, limited partners have the right to require the Operating Partnership to redeem their limited partnership units (“Units”) any time following the first anniversary of the date they acquired such Units (“Exchange Right”). Upon the exercise of Exchange Rights, and in Centerspace’s sole discretion, it may issue common shares in exchange for Units on a one-for-one basis. For the three months ended September 30, 2022, operating partnership units of 984,000, Series D preferred units of 228,000, as converted, Series E preferred units of 2.2 million, time-based RSUs of 7,000, weighted average stock options of 23,000, and performance-based RSUs of 30,000, were excluded from the calculation of diluted earnings per share because they were anti-dilutive. For the three months ended September 30, 2021, operating partnership units of 865,000, Series D preferred units of 228,000, as converted, Series E preferred units of 705,000, time-based RSUs of 13,000, weighted average stock options of 46,000, and performance-based RSUs of 32,000 were excluded from the calculation of diluted earnings per share because they were anti-dilutive. For the nine months ended September 30, 2022, operating partnership units of 980,000, Series D preferred units of 228,000, as converted, Series E preferred units of 2.2 million, time-based RSUs of 10,000, weighted average stock options of 38,000, and performance-based RSUs of 33,000, were excluded from the calculation of diluted earnings per share because they were anti-dilutive. For the nine months ended September 30, 2021, performance-based RSUs of 32,000, were excluded from the calculation of diluted earnings per share because they were anti-dilutive. The following table presents a reconciliation of the numerator and denominator used to calculate basic and diluted earnings per share reported in the Condensed Consolidated Financial Statements for the three and nine months ended September 30, 2022 and 2021.
| (in thousands, except per share data)
| Three Months Ended September 30, |  | Nine Months Ended September 30,
| 2022 |  | 2021 |  | 2022 |  | 2021
NUMERATOR |  |  |  |  |  |  |
Net income (loss) attributable to controlling interests | $ | (523) |  |  | $ | (9,492) |  |  | $ | (12,103) |  |  | $ | 7,179 |
Dividends to preferred shareholders | (1,607) |  |  | (1,607) |  |  | (4,821) |  |  | (4,821) |
Numerator for basic earnings (loss) per share – net income available to common shareholders | (2,130) |  |  | (11,099) |  |  | (16,924) |  |  | 2,358 |
Noncontrolling interests – Operating Partnership and Series E preferred units | (439) |  |  | (1,930) |  |  | (3,546) |  |  | (1,013) |
Dividends to preferred unitholders | 160 |  |  | 160 |  |  | 480 |  |  | 480 |
Numerator for diluted earnings (loss) per share | $ | (2,409) |  |  | $ | (12,869) |  |  | $ | (19,990) |  |  | $ | 1,825 |
DENOMINATOR |  |  |  |  |  |  |
Denominator for basic earnings per share weighted average shares | 15,373 |  |  | 14,065 |  |  | 15,280 |  |  | 13,501 |
Effect of redeemable operating partnership units | — |  |  | — |  |  | — |  |  | 917 |
Effect of Series D preferred units | — |  |  | — |  |  | — |  |  | 228 |
Effect of Series E preferred units | — |  |  | — |  |  | — |  |  | 239 |
Effect of dilutive restricted stock units and stock options | — |  |  | — |  |  | — |  |  | 32 |
Denominator for diluted earnings per share | 15,373 |  |  | 14,065 |  |  | 15,280 |  |  | 14,917 |
NET INCOME (LOSS) PER COMMON SHARE – BASIC | $ | (0.14) |  |  | $ | (0.79) |  |  | $ | (1.11) |  |  | $ | 0.17 |
NET INCOME (LOSS) PER COMMON SHARE – DILUTED | $ | (0.14) |  |  | $ | (0.79) |  |  | $ | (1.11) |  |  | $ | 0.12 |

X
- References No definition available. + Details
Name: | us-gaap_EarningsPerShareAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for earnings per share. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 3 -URI https://asc.fasb.org/extlink&oid=109243012&loc=SL65017193-207537 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (c) -URI https://asc.fasb.org/extlink&oid=124432515&loc=d3e3550-109257 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -URI https://asc.fasb.org/topic&trid=2144383 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 260 -SubTopic 10 -Section 50 -Paragraph 2 -URI https://asc.fasb.org/extlink&oid=124432515&loc=d3e3630-109257 + Details
Name: | us-gaap_EarningsPerShareTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration