VAALCO Energy, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Earnings Per Share

Earnings Per Share

3 Months Ended

Mar. 31, 2019

5. EARNINGS PER SHARE

Basic earnings per share (“EPS”) is calculated using the average number of shares of common stock outstanding during each period. For the calculation of diluted shares, we assume that restricted stock is outstanding on the date of vesting, and we assume the issuance of shares from the exercise of stock options using the treasury stock method.

A reconciliation from basic to diluted shares follows:


	Three Months Ended March 31,
		2019		2018
	(in thousands)
Net income (loss) (numerator):
Income (loss) from continuing operations	$	830	$	8,711
(Income) from continuing operations attributable to unvested shares		(7)		(67)
Numerator for basic		823		8,644
(Income) loss from continuing operations attributable to unvested shares		—		—
Numerator for dilutive	$	823	$	8,644

Income (loss) from discontinued operations, net of tax	$	5,671	$	(52)
Income (loss) from discontinued operations attributable to unvested shares		(49)		—
Numerator for basic		5,622		(52)
Income (loss) from discontinued operations attributable to unvested shares		—		—
Numerator for dilutive	$	5,622	$	(52)

Net income	$	6,501	$	8,659
Net (income) loss attributable to unvested shares		(56)		(67)
Numerator for basic		6,445		8,592
Net (income) loss attributable to unvested shares		—		—
Numerator for dilutive	$	6,445	$	8,592

Weighted average shares (denominator):
Basic weighted average shares outstanding		59,630		58,863
Effect of dilutive securities		1,053		—
Diluted weighted average shares outstanding		60,683		58,863
Stock options and unvested restricted stock grants excluded from dilutive calculation because they would be anti-dilutive		789		3,255