EXHIBIT 11
CAPSTEAD MORTGAGE CORPORATION
COMPUTATION OF NET INCOME PER SHARE*
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
QUARTER ENDED SIX MONTHS ENDED
JUNE 30 JUNE 30
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1996 1995 1996 1995
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PRIMARY:
Average number of common
shares outstanding 24,352 22,983 24,094 22,970
Incremental shares calculated
using the Treasury Stock method 480 6 429 6
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24,832 22,989 24,523 22,976
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Net income $32,173 $17,739 $ 59,001 $ 33,105
Less cash dividends paid on
convertible preferred stock:
Series A ($0.40 per share) (206) (239) (420) (487)
Series B ($0.315 per share) (9,594) (9,584) (19,270) (19,134)
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Net income available to common
stockholders $22,373 $ 7,916 $ 39,311 $ 13,484
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Primary net income per share $0.90 $0.35 $1.60 $0.59
FULLY DILUTED:
Average number of common
shares outstanding 24,352 22,983 24,094 22,970
Assumed conversion of
convertible preferred stock:
Series A 710 822 720 831
Series B 14,743 ** 14,734 **
Incremental shares calculated
using the Treasury Stock method 679 8 685 6
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40,484 23,813 40,233 23,807
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Net income $32,173 $17,739 $ 59,001 $ 33,105
Less cash dividends paid on
the Series B Preferred Stock - (9,584) - (19,134)
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Net income $32,173 $ 8,155 $ 59,001 $ 13,971
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Fully diluted net income per share $0.79 $0.34 $1.47 $0.59
* NOT ADJUSTED FOR THE 3-FOR-2 COMMON STOCK SPLIT PAYABLE ON AUGUST 15, 1996 TO
STOCKHOLDERS OF RECORD ON JULY 31, 1996.
** THE SERIES B PREFERRED STOCK WAS NOT CONSIDERED CONVERTIBLE FOR PURPOSES OF
CALCULATING FULLY DILUTED NET INCOME PER SHARE IN 1995 AS IT WAS
ANTIDILUTIVE.