Earnings Per Share Attributable to Quad Common Shareholders

12 Months Ended

Dec. 31, 2021

Earnings Per Share Attributable to Quad Common Shareholders

Earnings (Loss) Per Share Attributable to Quad Common Shareholders

Basic earnings (loss) per share attributable to Quad common shareholders is computed as net earnings (loss) attributable to Quad common shareholders, divided by the basic weighted average common shares outstanding. The calculation of diluted earnings (loss) per share attributable to Quad common shareholders includes the effect of any dilutive equity incentive instruments. The Company uses the treasury stock method to calculate the effect of outstanding dilutive equity incentive instruments, which requires the Company to compute total proceeds as the sum of the amount the employee must pay upon exercise of the award and the amount of unearned stock-based compensation costs attributed to future services.

Equity incentive instruments for which the total employee proceeds from exercise exceed the average fair value of the same equity incentive instrument over the period have an anti-dilutive effect on earnings per share during periods with net earnings, and accordingly, the Company excludes them from the calculation. Anti-dilutive equity instruments excluded from the computation of diluted net earnings per shares were 0.4 million class A common shares for the year ended December 31, 2021. Due to the net loss incurred during the year ended December 31, 2020, the assumed exercise of all equity incentive instruments was anti-dilutive and therefore, not included in the diluted loss per share calculation.

Reconciliations of the numerator and the denominator of the basic and diluted per share computations for the Company’s common stock for the years ended December 31, 2021 and 2020, are summarized as follows:


	2021		2020
Numerator:
Net earnings (loss) from continuing operations	$	37.8	$	(106.6)
Less: net loss attributable to noncontrolling interests	—		(0.2)
Net earnings (loss) from continuing operations attributable to Quad common shareholders	37.8		(106.4)

Loss from discontinued operations, net of tax	—		(21.9)

Net earnings (loss) attributable to Quad common shareholders	$	37.8	$	(128.3)

Denominator:
Basic weighted average number of common shares outstanding for all classes of common stock	51.3		50.6
Plus: effect of dilutive equity incentive instruments	1.7		—
Diluted weighted average number of common shares outstanding for all classes of common shares	53.0		50.6

Earnings (loss) per share attributable to Quad common shareholders:
Basic:
Continuing operations	$	0.74	$	(2.10)
Discontinued operations	—		(0.43)
Basic earnings (loss) per share attributable to Quad common shareholders	$	0.74	$	(2.53)

Diluted:
Continuing operations	$	0.71	$	(2.10)
Discontinued operations	—		(0.43)
Diluted earnings (loss) per share attributable to Quad common shareholders	$	0.71	$	(2.53)

Cash dividends paid per common share for all classes of common shares	$	—	$	0.15