Amneal Pharmaceuticals, Inc.AMRX

Amneal Pharmaceuticals, Inc. Earnings Per Share Disclosure

10-KFiled Feb 27, 20262 min read
Earnings (Loss) per Share
Following the implementation of the Reorganization on November 7, 2023 (refer to Note 1. Nature of Operations for additional information), all outstanding shares of Old PubCo Class A Common Stock and Old PubCo Class B Common Stock were exchanged for an equivalent number of shares of Class A common stock of the Company.
Basic earnings (loss) per share of Class A common stock was computed by dividing net income (loss) attributable to Amneal Pharmaceuticals, Inc. by the weighted-average number of shares of Class A common stock outstanding during the period. Diluted earnings (loss) per share of Class A common stock was computed by dividing net income (loss) attributable to Amneal Pharmaceuticals, Inc. by the weighted-average number of shares of Class A common stock outstanding during the period, adjusted to give effect to potentially dilutive securities. The weighted-average number of shares of Class A common stock for all periods prior to the Reorganization includes shares of Old PubCo Class A Common Stock.
The following table sets forth reconciliations of the numerators and denominators used to compute basic and diluted earnings (loss) per share of Class A common stock (in thousands, except per share amounts):
Year Ended December 31,
202520242023
Numerator:
Net income (loss) attributable to Amneal Pharmaceuticals, Inc.
$72,057 $(116,886)$(83,993)
Denominator:
Weighted-average shares outstanding - basic
313,367 308,978 176,136 
Effect of dilutive securities:
Stock options
933 — — 
Restricted stock units
4,606 — — 
Performance stock units
5,899 — — 
Weighted-average shares outstanding - diluted
324,805 308,978 176,136 
Net income (loss) per share attributable to Amneal Pharmaceuticals, Inc.'s Class A common stockholders:
Basic
$0.23 $(0.38)$(0.48)
Diluted
$0.22 $(0.38)$(0.48)
Prior to the Reorganization, shares of Old PubCo Class B Common Stock did not share in the earnings or losses of the Company and, therefore, were not participating securities. As such, separate presentation of basic and diluted earnings (loss) per share of Old PubCo Class B Common Stock under the two-class method was not presented. Effective with the Reorganization, all outstanding shares of Old PubCo Class B Common Stock were surrendered and canceled.
The following table presents potentially dilutive securities excluded from the computations of diluted earnings (loss) per share of Class A common stock (in thousands):
 Years Ended December 31,
 202520242023
Stock options
293 
(1)
2,019 
(2)
2,416 
(2)
Restricted stock units
— 9,967 
(2)
10,511 
(2)
Performance stock units
— 7,609 
(2)
6,944 
(2)
(1)Excluded from the computation of diluted earnings per share of Class A common stock because the exercise price of the stock options exceeded the average market price of the Class A common stock during the period (out-of-the-money).
(2)Excluded from the computation of diluted loss per share of Class A common stock because the effect of their inclusion would have been anti-dilutive since there was a net loss attributable to the Company during the period.

Historical Timeline

Fiscal YearFiled
2025Feb 27, 2026Showing above
2023Mar 14, 2024
2022Mar 3, 2023
2018Mar 1, 2019

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.

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