Thermon Group Holdings, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Net Income/(Loss) per Common Share

Net Income/(Loss) per Common Share

3 Months Ended

Jun. 30, 2021

Basic net income/(loss) per common share is computed by dividing net income/(loss) by the weighted average number of common shares outstanding during each period. Diluted net income per common share is computed by dividing net income by the weighted average number of common shares and common share equivalents outstanding (if dilutive) during each period. The number of common share equivalents, which includes options and both restricted and performance stock units, is computed using the treasury stock method. With regard to the performance stock units, we assume that the associated performance targets will be met at the target level of performance for purposes of calculating diluted net income per common share until such time that it is probable that the performance target will not be met.

The reconciliations of the denominators used to calculate basic and diluted net income/(loss) per common share for the three months ended June 30, 2021 and 2020, respectively, are as follows:


	Three Months Ended June 30, 2021		Three Months Ended June 30, 2020
Basic net income/(loss) per common share
Net income/(loss)	$	867	$	(6,085)
Weighted-average common shares outstanding	33,259,804		32,986,451
Basic net income/(loss) per common share	$	0.03	$	(0.18)


	Three Months Ended June 30, 2021		Three Months Ended June 30, 2020
Diluted net income (loss) per common share
Net income/(loss)	$	867	$	(6,085)
Weighted-average common shares outstanding	33,259,804		32,986,451
Common share equivalents:
Stock options	2,308		—
Restricted and performance stock units	199,523		—
Weighted average shares outstanding – dilutive (1)	33,461,635		32,986,451
Diluted net income/(loss) per common share(2)	$	0.03	$	(0.18)

(1) For the three months ended June 30, 2021 and 2020, 65,854 and 283,612 equity awards, respectively, were not included in the calculation of diluted net income per common share, as they would have had an anti-dilutive effect.

(2) As the Company incurred a net loss for the three months ended June 30, 2020, there was no dilutive effect on net loss per common share as common share equivalents are antidilutive. Therefore, both basic and diluted net loss per common share were $(0.18) for the three months ended June 30, 2020.