Asana, Inc.ASAN

Asana, Inc. Earnings Per Share Disclosure

10-KFiled Mar 18, 20251 min read
Net Loss Per Share
The Company computes net loss per share using the two-class method required for multiple classes of common stock and participating securities. The rights, including the liquidation and dividend rights, of the Class A common stock and Class B common stock are substantially identical, other than voting and conversion rights. Accordingly, the Class A common stock and Class B common stock share equally in the Company’s net income and losses.
The following table presents the calculation of basic and diluted net loss per share (in thousands, except per share data):
Year Ended January 31,
202520242023
Numerator:
Net loss$(255,536)$(257,030)$(407,768)
Denominator:
Weighted-average shares used in calculating net loss per share, basic and diluted229,472 220,406200,034 
Net loss per share, basic and diluted$(1.11)$(1.17)$(2.04)
The potential shares of common stock that were excluded from the computation of diluted net loss per share for the period presented because including them would have been anti-dilutive are as follows (in thousands):
Year Ended January 31,
202520242023
Stock options6,071 9,788 11,941 
Restricted stock units21,521 17,190 14,591 
Early exercised stock options— — 28 
Shares issuable pursuant to the 2020 Employee Stock Purchase Plan642 485 528 
Total28,234 27,463 27,088 

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.

Other Available Disclosures

Income TaxesRevenueFair ValuePP&ELeasesSegmentsDebtCommitmentsNew StandardsPay vs Performance