Loss Per Common Share

9 Months Ended

Sep. 30, 2023

The following table sets forth the computation of basic and diluted earnings per share available for common stockholders (in thousands, except per share data):


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2023		2022		2023		2022
Income (loss) from continuing operations	$	(25,324)	$	2,123	$	(79,629)	$	(7,352)
Loss from discontinued operations, net of tax (2)	—		—		—		(463)
Income (loss) before preferred dividends and accretion of Series A Preferred Stock	(25,324)		2,123		(79,629)		(7,815)
Dividends and accretion of Series A Preferred Stock	(7,872)		—		(21,236)		—
Net income (loss) attributable to common shareholders of Evolent Health, Inc.	$	(33,196)	$	2,123	$	(100,865)	$	(7,815)

Weighted-average common shares outstanding - basic	112,282		95,286		110,464		91,643
Incremental diluted shares from stock options	—		1,915		—		—
Incremental diluted shares from restricted stock units ("RSUs"), performance-based RSUs (“PSUs”) and leveraged stock units ("LSUs")	—		2,107		—		—

Weighted-average common shares outstanding - diluted	112,282		99,308		110,464		91,643

Income (loss) per common share
Basic:
Continuing operations	$	(0.30)	$	0.02	$	(0.91)	$	(0.08)
Discontinued operations	—		—		—		(0.01)
Basic income (loss) per share attributable to common shareholders of Evolent Health, Inc.	$	(0.30)	$	0.02	$	(0.91)	$	(0.09)
Diluted:
Continuing operations	$	(0.30)	$	0.02	$	(0.91)	$	(0.08)
Discontinued operations	—		—		—		(0.01)
Diluted income (loss) per share attributable to common shareholders of Evolent Health, Inc.	$	(0.30)	$	0.02	$	(0.91)	$	(0.09)

Basic net loss per common share is calculated using the weighted average number of common shares outstanding during the period. Diluted net earnings per common share, if any, gives effect to diluted stock options (calculated based on the treasury stock method), shares issuable upon debt conversion (calculated using an as-if converted method).

Anti-dilutive shares excluded from the calculation of weighted-average common shares presented above are presented below (in thousands):


	For the Three Months Ended September 30,		For the Nine Months Ended September 30,
	2023	2022	2023	2022
Restricted stock units ("RSUs"), performance-based RSUs (“PSUs”) and leveraged stock units ("LSUs")	1,045	—	1,311	1,818
Stock options	603	—	933	1,858
Series A Preferred Stock	4,375	—	4,375	—
Convertible senior notes	5,997	9,007	6,301	10,714
Total	12,020	9,007	12,920	14,390