American Healthcare REIT, Inc. Earnings Per Share Disclosure
18. Earnings Per Share
The following table presents the amounts used in computing our basic and diluted earnings per share (in thousands, except share and per share amounts):
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|
Year Ended December 31, |
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2025 |
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2024 |
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2023 |
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Numerator: |
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|
|
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|
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|
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Net income (loss) attributable to controlling interest |
|
$ |
69,806 |
|
|
$ |
(37,812 |
) |
|
$ |
(71,469 |
) |
Adjustment for net income (loss) attributable to |
|
|
(6 |
) |
|
|
— |
|
|
|
— |
|
Net income (loss) attributable to controlling interest |
|
$ |
69,800 |
|
|
$ |
(37,812 |
) |
|
$ |
(71,469 |
) |
Denominator: |
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|
|
|
|
|
|
|
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|||
Denominator for basic earnings per share — |
|
|
166,055,466 |
|
|
|
130,637,539 |
|
|
|
66,047,114 |
|
Effect of dilutive securities: |
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|
|
|
|
|
|
|
|
|||
Nonvested restricted common stock and stock units |
|
|
793,500 |
|
|
|
— |
|
|
|
— |
|
ESPP |
|
|
637 |
|
|
|
— |
|
|
|
— |
|
Denominator for diluted earnings per share — adjusted |
|
|
166,849,603 |
|
|
|
130,637,539 |
|
|
|
66,047,114 |
|
Basic earnings per share: |
|
|
|
|
|
|
|
|
|
|||
Net income (loss) attributable to controlling interest |
|
$ |
0.42 |
|
|
$ |
(0.29 |
) |
|
$ |
(1.08 |
) |
Diluted earnings per share: |
|
|
|
|
|
|
|
|
|
|||
Net income (loss) attributable to controlling interest |
|
$ |
0.42 |
|
|
$ |
(0.29 |
) |
|
$ |
(1.08 |
) |
Basic earnings (loss) per share for all periods presented are computed by dividing net income (loss) applicable to Common Stock by the weighted average number of shares of our Common Stock outstanding during the period. Diluted earnings (loss) per share are computed based on the weighted average number of shares of our Common Stock and all dilutive securities, if any. TBUs, RSAs, limited OP units, as well as Common Stock issued pursuant to the ESPP and forward sale agreements, give rise to potentially dilutive shares of our Common Stock.
The following securities were excluded from the computation of diluted earnings (loss) per share because such securities were anti-dilutive during the periods presented below:
|
|
Year Ended December 31, |
|
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|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
Nonvested TBUs |
|
|
75,087 |
|
|
|
341,098 |
|
|
|
157,329 |
|
Nonvested RSAs |
|
|
— |
|
|
|
1,002,153 |
|
|
|
147,044 |
|
OP units |
|
|
1,998,458 |
|
|
|
2,004,216 |
|
|
|
3,501,976 |
|
Forward sale agreements |
|
|
7,639,187 |
|
|
|
— |
|
|
|
— |
|
For the years ended December 31, 2025, 2024 and 2023, 498,522, 309,254 and 70,751 nonvested PBUs, respectively, were treated as contingently issuable shares pursuant to Accounting Standards Codification Topic 718, Compensation — Stock Compensation. Such contingently issuable shares were excluded from the computation of diluted earnings (loss) per share because they were anti-dilutive during the period.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 27, 2026 | Showing above |
| 2024 | Feb 28, 2025 | |
About Earnings Per Share Disclosures
The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.
Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.