v3.24.3
Earnings Per Share
9 Months Ended
Sep. 30, 2024
Earnings Per Share [Abstract]  
Earnings Per Share
11. Earnings Per Share
Basic earnings per share is calculated by dividing the net income (loss) attributable to Alight, Inc. by the weighted average number of shares of Class A Common Stock issued and outstanding. The computation of diluted earnings per share reflects the potential dilution that could occur if dilutive securities and other contracts to issue shares were exercised or
converted into shares or resulted in the issuance of shares that would then share in the net income of Alight, Inc. The Company’s Class V Common Stock does not, and its Class Z Common Stock did not, participate in the earnings or losses of the Company and are therefore not participating securities and have not been included in either the basic or diluted earnings per share calculations.
Basic and diluted (net loss) earnings per share are as follows (in millions, except for share and per share amounts):
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
Basic and diluted (net loss) earnings per share:
Numerator
Net Income (Loss) From Continuing Operations$(44)$(40)$(169)$(196)
Less: Net income (loss) attributable to noncontrolling interest— (2)2 9 
Net Income (loss) from continuing operations attributable to Alight, Inc.$(44)$(42)$(167)$(187)
Net Income (Loss) From Discontinued Operations, Net of Tax(30)(6)2 4 
Net Income (Loss) Attributable to Alight, Inc. - basic$(74)$(48)$(165)$(183)
Loss impact of conversion of noncontrolling interest— — (1)— 
Net income (loss) attributable to Alight, Inc. - diluted$(74)$(48)$(166)$(183)
Denominator
Weighted-average shares outstanding - basic535,828,896493,226,324545,659,335486,683,943
Dilutive effect of the exchange of noncontrolling interest units——560,433—
Dilutive effect of RSUs————
Weighted-average shares outstanding - diluted535,828,896493,226,324546,219,768486,683,943
Basic and Diluted (net loss) earnings per share
Continuing operations$(0.08)$(0.09)$(0.31)$(0.39)
Discontinued operations$(0.06)$(0.01)$— $0.01 
Net Income (Loss)$(0.14)$(0.10)$(0.31)$(0.38)
For the three and nine months ended September 30, 2023, 36,565,810 units of Alight Holdings Class A units related to noncontrolling interests were not included in the computation of diluted shares outstanding as their impact would have been anti-dilutive.
For both the three and nine months ended September 30, 2024, 7,358,510 of unvested RSUs were not included in the computation of diluted shares outstanding as their impact would have been anti-dilutive. For both the three and nine months ended September 30, 2023, 9,161,197 of unvested RSUs were not included in the computation of diluted shares outstanding as their impact would have been anti-dilutive.
For the three and nine months ended September 30, 2024 and 2023, 10,199,730 and 28,547,275 unvested PRSUs, respectively, were excluded from the calculation of basic and diluted earnings per share. For both the three and nine months ended September 30, 2024 and 2023, these unvested PSU shares reflect current expected achievement levels and were excluded as the performance conditions were not met as of the end of the respective periods.
In conjunction with the Business Combination, the Company issued Seller Earnouts contingent consideration, which is payable in the Company’s Common Stock if the related market conditions are achieved. As the related conditions to pay the consideration had not been satisfied as of September 30, 2024, 14,999,998 shares related to the Seller Earnouts were excluded from the diluted earnings per share calculations.