Brilliant Earth Group, Inc.BRLT

Brilliant Earth Group, Inc. Earnings Per Share Disclosure

10-KFiled Mar 17, 20263 min read
EARNINGS PER SHARE
Basic earnings per share is computed by dividing net (loss) income applicable to Brilliant Earth Group, Inc. by the weighted average shares of Class A common stock outstanding (and Class D common stock, if outstanding) during the period. Diluted earnings per share is computed by adjusting the net (loss) income available to Brilliant Earth Group, Inc. and the weighted average shares outstanding to give effect to potentially dilutive securities. Shares of Class B and Class C common stock are not entitled to receive any distributions or dividends and are therefore excluded from this presentation since they are not participating securities.
Basic and diluted earnings per share of Class A common stock for the years ended December 31, 2025 and 2024, have been computed as follows (in thousands, except share and per share amounts):

December 31,
2025
2024
Numerator:
Net (loss) income attributable to Brilliant Earth Group, Inc., BASIC
$
(3,635)
$
541 
 Add: Net income impact from assumed redemption of all LLC Units to common stock
— 
3,453 
Less: Income tax expense on net income attributable to NCI
— 
(878)
Net (loss) income attributable to Brilliant Earth Group, Inc., after adjustment for assumed conversion, DILUTED
$
(3,635)
$
3,116 
Denominator:
Weighted average shares of common stock outstanding, BASIC
14,752,634 
13,304,227 
Dilutive effects of:
Vested LLC Units that are exchangeable for common stock
— 
84,884,486 
Unvested LLC Units that are exchangeable for common stock
— 
43,953 
RSUs
— 
120,258 
Weighted average shares of common stock outstanding, DILUTED
14,752,634 
98,352,924 
BASIC earnings per share
$
(0.25)
$
0.04 
DILUTED earnings per share
$
(0.25)
$
0.03 

For the year ended December 31, 2024, net income attributable to the non-controlling interest is added back to net income in the fully dilutive computation and has been adjusted for income taxes which would have been expensed had the income been recognized by Brilliant Earth Group, Inc., a taxable entity. The weighted average common shares outstanding in the diluted computation per share assumes all outstanding LLC Units are converted, and the Company will elect to issue shares of common stock upon redemption rather than cash-settle.

For the year ended December 31, 2025, the dilutive earnings per share calculation excludes the loss impact from assumed redemption of all LLC Units and any income tax impact on the net loss attributable to the non-controlling interest since the Company is in a net loss position and these adjustments would be antidilutive.

For the years ended December 31, 2025 and 2024, the dilutive impact of vested LLC Units convertible into common stock were included in the computation of diluted earnings per share under the if-converted method; except when the effect would be anti-dilutive. The dilutive impact of unvested LLC Units and RSUs were included using the treasury stock method, except when the effect would be anti-dilutive.
The following table presents the securities for the years ended December 31, 2025 and 2024, that have been excluded from the computation of earnings per share because such impact would have been anti-dilutive:

December 31,
2025
2024
Vested LLC Units
84,949,017 
— 
RSUs
3,946,584 
3,701,131 
Stock options
664,686 
709,147 
Unvested LLC units
4,734 
— 

Historical Timeline

Fiscal YearFiled
2025Mar 17, 2026Showing above
2024Mar 13, 2025
2023Mar 28, 2024
2022Mar 21, 2023
2021Mar 22, 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.

Other Available Disclosures

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