NOTE 18 — EARNINGS PER SHARE

Basic earnings per share (“EPS”) is calculated by dividing net income (loss) by the weighted average number of common shares outstanding during the period and includes vested, unissued RSUs and ESPP shares. Diluted EPS is calculated by dividing net income (loss) by the weighted average number of common shares outstanding, after giving effect to all potential dilutive common shares outstanding during the period. We include all common stock share equivalents granted under our stock-based compensation plan, including ESPP, which remain unvested and shares used as consideration in the Ault acquisition which remain unissued (“dilutive securities”), in the number of shares outstanding for our diluted EPS calculations using the treasury method.

Basic and diluted EPS were calculated as follows:

 

Year Ended December 31,

 

 

2025

 

 

2024

 

 

2023

 

Basic net (loss) income per share

 

 

 

 

 

 

 

 

Net (loss) income available to common stockholders

$

(83.3

)

 

$

(65.1

)

 

$

5.9

 

Basic weighted average common shares outstanding

 

32,711,790

 

 

 

33,179,598

 

 

 

32,447,754

 

Basic net (loss) income per share of common stock

$

(2.55

)

 

$

(1.96

)

 

$

0.18

 

Diluted net (loss) income per share

 

 

 

 

 

 

 

 

Net (loss) income available to common stockholders

$

(83.3

)

 

$

(65.1

)

 

$

5.9

 

Basic weighted average common shares outstanding

 

32,711,790

 

 

 

33,179,598

 

 

 

32,447,754

 

Effect of dilutive securities:

 

 

 

 

 

 

 

 

Effect of dilutive securities

 

 

 

 

 

 

 

429,753

 

Diluted weighted average common shares outstanding

 

32,711,790

 

 

 

33,179,598

 

 

 

32,877,507

 

Diluted net (loss) income per share of common stock

$

(2.55

)

 

$

(1.96

)

 

$

0.18

 

 

Approximately 735,000 and 918,000 securities were excluded from the calculation of diluted loss per share for the years ended December 31, 2025 and 2024, respectively, because the inclusion of such securities in the calculation would have been anti-dilutive.

Historical Timeline

Fiscal YearFiled
2025Feb 26, 2026Showing above
2024Mar 5, 2025
2023Mar 14, 2024
2022Mar 9, 2023
2021Mar 31, 2022

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.