Blade Air Mobility, 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

6 Months Ended

Jun. 30, 2022

The Company has granted restricted stock awards with dividend rights that are considered to be participating securities. Accordingly, a portion of the Company’s earnings is allocated to those participating securities in the earnings per share (“EPS”) calculation under the two-class method. Basic earnings per common share is computed using the two-class method by dividing income available to common stockholders after the allocation of dividends and undistributed earnings to the participating securities by the weighted average number of common shares outstanding for the period. Diluted earnings per common share is calculated using the more dilutive of the treasury stock method or the two-class method. Diluted earnings per common share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised, and is computed after giving consideration to the weighted average dilutive effect of the Company’s stock options, warrants, and nonvested restricted stock, where applicable. Diluted EPS under the two-class method also considers the allocation of earnings to the participating securities. Antidilutive securities are disregarded in earnings per share calculations. Diluted EPS for the three months ended June 30, 2022 shown below reflects the two-class method, as diluted EPS under the two-class method was more dilutive than under the treasury stock method.

A reconciliation of net earnings (loss) and common stock share amounts used in the computation of basic and diluted earnings per share is presented below.


	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Basic and dilutive earnings (loss) per common share:
Net income ((loss) attributable to Blade Air Mobility, Inc.	$	8,412	$	(24,286)	$	(2,600)	$	(28,507)
Less: Undistributed earnings allocated to nonvested restricted stockholders	(256)		—		—		—
Basic net earnings (loss) available to common stockholders	8,156		(24,286)		(2,600)		(28,507)
Add: Undistributed earnings allocated to nonvested restricted stockholders	256		—		—		—
Less: Reallocation of undistributed earnings to nonvested restricted stockholders	(233)		—		—		—
Diluted net earnings (loss) available to common stockholders	8,179		(24,286)		(2,600)		(28,507)

Total weighted-average basic common shares outstanding	71,051,523		51,569,634		70,913,597		38,547,863
Effect of dilutive securities:
Stock options	7,445,833		—		—		—
Total effect of dilutive securities	7,445,833		—		—		—
Total weighted-average diluted common shares outstanding	78,497,356		51,569,634		70,913,597		38,547,863

Net earnings (loss) per common share:
Basic earnings (loss) per common share	$	0.11	$	(0.47)	$	(0.04)	$	(0.74)
Dilutive earnings (loss) per common share	$	0.10	$	(0.47)	$	(0.04)	$	(0.74)

The following table represents common stock equivalents that were excluded from the computation of diluted earnings per share for the three and six months ended June 30, 2022 and 2021, because the effect of their inclusion would be anti-dilutive:


	Three Months Ended June 30,		Six Months Ended June 30,
	2022	2021	2022	2021
Warrants to purchase shares of common stock	14,166,644	14,166,666	14,166,644	14,166,666
Options to purchase shares of common stock	—	9,689,826	7,644,533	9,689,826
Restricted shares of common stock	1,051,549	703,137	2,354,229	703,137
Total potentially dilutive securities	15,218,193	24,559,629	24,165,406	24,559,629