15. Earnings Per Share

3 Months Ended

Mar. 31, 2018

15. EARNINGS PER SHARE

Basic earnings per share are the result of dividing the Company’s net income (or net loss) by the weighted average number of shares outstanding for the contemplated period. Diluted earnings per share are calculated applying the treasury stock method. When there is a net income dilutive effect, all stock-based compensation awards or participating financial instruments are considered. When the Company posts a loss, basic loss per share equals diluted loss per share. The following table depicts how the denominator for the calculation of basic and diluted earnings per share was determined under the treasury stock method.

Earnings per share	Three-month period ended March 31, 2018		Three-month period ended March 31, 2017
Company posted		Net loss		Net loss
Basic weighted average shares outstanding		107,241,603		108,234,104
Dilutive effect of common stock equivalents		None		None
Dilutive weighted average shares outstanding		107,241,603		108,234,104

A total of 2,500,000 common shares have vested, that had not been issued, as of the balance sheet date are included in the basic weighted average of shares outstanding.

The following table shows the number of stock equivalents of the Company that were excluded from the computation of diluted earnings per share for the respective period because the effect would have been anti-dilutive.

Earnings per share	Three-month period ended March 31, 2018		Three-month period ended March 31, 2017
Options to Hans Rigendinger		10,000,000		10,000,000
Options to Dr. M. Rössler		10,000,000		10,000,000
Total Options		20,000,000		20,000,000

Shares to Hans Rigendinger (retention bonus –not vested)		0		2,500,000
Shares to third party		0		1,666,665
Shares to Howard Glicken and José Maria Figueres (retention award)		0		400,000
Total Shares		0		4,566,665

Total Options and Shares		20,000,000		24,566,665

Options related to Convertible CHF bonds: Each bond in the principal amount of CHF 5,000 can be converted on any business day during the conversion period into 625 common shares of SunVesta Holding AG at a conversion price equal to CHF 8.

A number of 1,380,863 stock equivalents of SunVesta Holding AG associated with the Convertible CHF Bond were excluded from the computation of diluted earnings per share for the three-month period ended March 31, 2018, because the effect would have been anti-dilutive (3,877,625 for the three-month period ended March 31, 2017).

SUNVESTA, INC. 10-Q