Earnings (Loss) Per Share
 9 Months Ended
Sep. 30, 2020
Earnings Per Share [Abstract]  
Earnings (Loss) Per Share

(16) EARNINGS (LOSS) PER SHARE

 

Basic earnings per ordinary share is computed by dividing net earnings attributable to holders of the Company’s Class A common shares by the weighted average number of common shares outstanding during the period. Diluted earnings per ordinary share is computed by dividing net earnings attributable to holders of the Company’s Class A common shares by the weighted average number of common shares outstanding during the period increased by the number of additional shares that would have been outstanding related to potentially dilutive securities or instruments, if the impact is dilutive.

 

The details of the earnings per share calculations for the three and nine months ended September 30, 2020 and 2019 are as follows (in millions, except per share and per share amounts:

 

 

 

 

Nine months ended

September 30, 2020

 

 

Nine months ended

September 30, 2019(1)

 

Net income (loss) attributable to common shareholders

 

 

 

$
(258.5)

 

 

 

 

$
(106.9)

 

 

Weighted-average number of ordinary shares outstanding – basic

 

 

 

 
299,266,849

 

 

 

 

 
118,261,955

 

 

Dilutive effect of equity-based compensation and warrants

 

 

 

 

—

 

 

 

 

 

—

 

 

Weighted-average number of ordinary shares outstanding – diluted

 

 

 

 
299,266,849

 

 

 

 

 
118,261,955

 

 

Net income per share attributable to common shareholders

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

 

$
(0.86)

 

 

 

 

$
(0.90)

 

 

Diluted

 

 

 

 
(0.86)

 

 

 

 

 
(0.90)

 

 

(1)

The Business Combination was accounted for as a reverse capitalization in accordance with U.S. GAAP. See Note 1 “Description of the Business”. Accordingly, weighted-average shares outstanding for purposes of the earnings per share calculation have been retroactively restated as shares reflecting the exchange ratio established in the Business Combination (1.0 Vertiv Holdings share to 118.261955 Vertiv Holdings Co shares).

 

 

Stock awards and warrants were outstanding during the three and nine months ended September 30, 2020, but were not included in the computation of diluted earnings per common share because the effect would be anti-dilutive. The number of shares used in the calculation of diluted earnings per share did not include 10.9 million shares and 33.5 million shares, respectively for the three and nine months ended September 30, 2020.