BrightView Holdings, Inc. Earnings Per Share Disclosure
17. Earnings Per Share of Common Stock
The Company calculates basic and diluted earnings (loss) per common share using the two-class method. The two-class method is an allocation formula that determines net income per common share for each share of common stock and Series A Convertible Preferred Stock, a participating security, according to dividends declared and participation rights in undistributed earnings. Under this method, all earnings (distributed and undistributed) are allocated to common shares and Series A Convertible Preferred Stock based on their respective rights to receive dividends. The holders of Series A Convertible Preferred Stock participate in cash dividends that the Company pays on its common stock in an as-converted basis. Diluted net income per common share is computed based on the weighted average number of shares of common stock outstanding during each period, plus potential common shares considered outstanding during the period, as long as the inclusion of such awards is not antidilutive. Potential common shares consist of unvested and unexercised stock compensation awards and the Series A Convertible Preferred Stock, using the more dilutive of either the two-class method or if-converted stock method.
Set forth below is a reconciliation of the numerator and denominator for basic and diluted earnings (loss) per share calculation for the periods indicated:
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Fiscal Year Ended |
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September 30, 2025 |
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September 30, 2024 |
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September 30, 2023 |
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Basic Earnings (Loss) per common share |
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Numerator: |
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Net income |
$ |
56.0 |
|
|
$ |
66.4 |
|
|
$ |
(7.7 |
) |
Less: dividends on Series A convertible preferred shares |
|
(35.8 |
) |
|
|
(35.7 |
) |
|
|
(3.2 |
) |
Less: Earnings allocated to Convertible Preferred Shares |
|
(7.4 |
) |
|
|
(11.2 |
) |
|
|
— |
|
Net income (loss) available to common shareholders |
$ |
12.8 |
|
|
$ |
19.5 |
|
|
$ |
(10.9 |
) |
Denominator: |
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Weighted average number of common shares outstanding – basic |
|
95,170,000 |
|
|
|
94,673,000 |
|
|
|
93,412,000 |
|
Basic earnings per share |
$ |
0.13 |
|
|
$ |
0.21 |
|
|
$ |
(0.12 |
) |
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Diluted earnings (loss) per common share |
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Numerator: |
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Net income (loss) available to common shareholders – diluted |
$ |
12.8 |
|
|
$ |
19.5 |
|
|
$ |
(10.9 |
) |
Denominator: |
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|
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|
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Weighted average number of common shares outstanding – basic |
|
95,170,000 |
|
|
|
94,673,000 |
|
|
|
93,412,000 |
|
Dilutive effect of: |
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Stock compensation awards |
|
1,333,000 |
|
|
|
1,403,000 |
|
|
|
— |
|
Weighted average number of common shares outstanding – diluted |
|
96,503,000 |
|
|
|
96,076,000 |
|
|
|
93,412,000 |
|
Diluted earnings per share |
$ |
0.13 |
|
|
$ |
0.20 |
|
|
$ |
(0.12 |
) |
Other Information: |
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Weighted average number of anti-dilutive Series A convertible preferred shares, options and restricted stock(a) |
|
57,369,000 |
|
|
|
56,587,000 |
|
|
|
9,656,000 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Nov 19, 2025 | Showing above |
| 2024 | Nov 13, 2024 | |
| 2023 | Nov 16, 2023 | |
| 2022 | Nov 17, 2022 | |
| 2021 | Nov 17, 2021 | |
| 2020 | Nov 18, 2020 | |
| 2019 | Nov 21, 2019 | |
| 2018 | Nov 28, 2018 | |
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.