Earnings Per Share

Basic earnings per share (“EPS”) excludes dilution and is computed by dividing net income (loss) attributable to Inseego Corp. by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock using the treasury stock method. Potentially dilutive securities (consisting primarily of the Convertible Notes calculated using the if-converted and treasury stock method and warrants, stock options and RSUs calculated using the treasury stock method) are excluded from the diluted EPS computation in loss periods and when the applicable exercise price is greater than the market price on the period end date as their effect would be anti-dilutive.

The calculation of basic and diluted EPS was as follows (in thousands, except share and per share data):



	Three Months Ended September 30,					Nine Months Ended September 30,
	2018		2017			2018			2017
Net income (loss) attributable to Inseego Corp.	$	10,843	$	(13,789	)	$	(3,867	)	$	(41,913	)

Basic weighted-average common shares outstanding	68,480,774		59,004,520			63,585,229			58,157,171
Dilutive common share equivalents	2,975,572		—			—			—
Diluted weighted-average number of shares outstanding	71,456,346		59,004,520			63,585,229			58,157,171

Basic net income (loss) per share	$	0.16	$	(0.23	)	$	(0.06	)	$	(0.72	)
Diluted net income (loss) per share	$	0.15	$	(0.23	)	$	(0.06	)	$	(0.72	)

For the three months ended September 30, 2018, the computation of diluted EPS excluded 28,086,624 shares related to the Convertible Notes as their effect would have been anti-dilutive. For the nine months ended September 30, 2018, the computation of diluted EPS excluded 37,975,693 shares primarily related to the Convertible Notes, warrants, stock options and RSUs as their effect would have been anti-dilutive.