Earnings (loss) per Share

9 Months Ended

Sep. 30, 2023

Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted-average number of shares outstanding during the period. Diluted earnings per share is computed by dividing net income (loss) by the sum of (1) the weighted-average number of shares of common stock outstanding during the period, and (2) the dilutive effect of assumed conversion of equity awards using the treasury stock method. With respect to the number of weighted-average shares outstanding (denominator), diluted shares reflects: (i) the exercise of options to acquire common stock to the extent that the options’ exercise prices are less than the average market price of common shares during the period and (ii) the pro forma vesting of restricted stock units.

The following table sets forth the computations of basic and diluted earnings (loss) per share:


	Three months ended September 30,				Nine months ended September 30,
	2023		2022		2023		2022

Basic earnings (loss) per share
Numerator:
Net income (loss) attributable to Mistras Group, Inc.	$	(10,298)	$	4,373	$	(14,947)	$	3,653
Denominator:
Weighted average common shares outstanding	30,402		29,965		30,277		29,879
Basic earnings (loss) per share	$	(0.34)	$	0.15	$	(0.49)	$	0.12

Diluted earnings (loss) per share:
Numerator:
Net income (loss) attributable to Mistras Group, Inc.	$	(10,298)	$	4,373	$	(14,947)	$	3,653
Denominator:
Weighted average common shares outstanding	30,402		29,965		30,277		29,879

Dilutive effect of restricted stock units outstanding (1)	—		280		—		330
	30,402		30,245		30,277		30,209
Diluted earnings (loss) per share	$	(0.34)	$	0.14	$	(0.49)	$	0.12

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(1) For the three and nine months ended September 30, 2023, 1,508,255 and 926,224 shares related to restricted stock, respectively, were excluded from the calculation of diluted EPS due to the net loss for the period.