NET LOSS PER SHARE
The following table presents the computation of basic and diluted net loss per share for the years ended September 30, 2025, 2024 and 2023.
Year Ended September 30,
202520242023
(in thousands, except per share amounts)
Numerator:
Net loss attributable to Arrowhead Pharmaceuticals, Inc.$(1,631)$(599,493)$(205,275)
Denominator:
Weighted-average basic shares outstanding (1)
133,758 119,784 106,750 
Effect of dilutive securities— — — 
Weighted-average diluted shares outstanding (1)
133,758 119,784 106,750 
Basic net loss per share$(0.01)$(5.00)$(1.92)
Diluted net loss per share$(0.01)$(5.00)$(1.92)
(1) Includes shares of common stock into which the Avoro Pre-Funded Warrants may be exercised. See Note 6.
The following table sets forth the potentially dilutive securities that have been excluded from the calculation of diluted net loss per share because to include them would be anti-dilutive.
Year Ended September 30,
202520242023
(in thousands)
Options744 707 633 
Restricted stock units4,276 4,030 3,420 
Total5,020 4,737 4,053 

Historical Timeline

Fiscal YearFiled
2025Nov 25, 2025Showing above
2024Nov 26, 2024
2023Nov 29, 2023

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.