Annual report pursuant to Section 13 and 15(d)

Earnings Per Share

v3.19.1
Earnings Per Share
12 Months Ended
Dec. 31, 2018
Earnings Per Share [Abstract]  
Earnings Per Share Earnings Per Share
The following table presents a reconciliation of the (loss) earnings and shares used in calculating basic and diluted (loss) earnings per share for the years ended December 31, 2018 and 2017. All per share amounts, common shares outstanding and restricted shares for all periods presented reflect the Company’s one-for-two reverse stock split effected on November 1, 2017 (refer to Note 16 - Stockholders’ Equity for additional information).
 
Year Ended
 
December 31,
(in thousands, except share data)
2018
 
2017
 
2016
Numerator:
 
 
 
 
 
Net (loss) income from continuing operations
$
(44,290
)
 
$
308,239

 
$
317,921

Income from discontinued operations, net of tax

 
44,146

 
35,357

Net (loss) income
(44,290
)
 
352,385

 
353,278

Income from discontinued operations attributable to noncontrolling interest

 
3,814

 

Net (loss) income attributable to Two Harbors Investment Corp.
(44,290
)
 
348,571

 
353,278

Dividends on preferred stock
65,395

 
25,122

 

Net (loss) income attributable to common stockholders - basic
(109,685
)
 
323,449

 
353,278

Interest expense attributable to convertible notes (1)

 
17,867

 

Net (loss) income attributable to common stockholders - diluted
$
(109,685
)
 
$
341,316

 
353,278

Denominator:
 
 
 
 
 
Weighted average common shares outstanding
204,409,853

 
173,063,178

 
172,523,497

Weighted average restricted stock shares
1,610,649

 
1,370,821

 
1,513,355

Basic weighted average shares outstanding
206,020,502

 
174,433,999

 
174,036,852

Effect of dilutive shares issued in an assumed conversion

 
13,699,342

 

Diluted weighted average shares outstanding
206,020,502


188,133,341


174,036,852

Basic (Loss) Earnings Per Share:

 


 


Net (loss) income
$
(0.53
)
 
$
1.85

 
$
2.03

Diluted (Loss) Earnings Per Share:
 
 
 
 
 
Net (loss) income
$
(0.53
)

$
1.81


$
2.03


___________________
(1)
Includes a nondiscretionary adjustment for the assumed change in the management fee calculation.