27. Income (Loss) Per Share

 

Basic EPS is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted EPS is computed similar to basic net income per share except that the denominator is increased to include the number of additional common shares that would have been outstanding if all the potential common shares pertaining to warrants, stock options, and similar instruments had been issued and if the additional common shares were dilutive. Diluted earnings per share are based on the assumption that all dilutive convertible shares and stock options and warrants were converted or exercised. Dilution is computed by applying the treasury stock method for the outstanding unvested restricted stock, options and warrants, and the if-converted method for the outstanding convertible instruments. Under the treasury stock method, options and warrants are assumed to be exercised at the beginning of the period (or at the time of issuance, if later) and as if funds obtained thereby were used to purchase common stock at the average market price during the period. Under the if-converted method, outstanding convertible instruments are assumed to be converted into common stock at the beginning of the period (or at the time of issuance, if later).

The following is the calculation of income (loss) per share:

 

    Year ended
December 31,
2024
    Year ended
December 31,
2025
 
Net income (loss)   $ 9,585,150     $ (10,951,935
Less: Net loss attributable to non-controlling interests     2,204,882       1,573,816  
Net income (loss) attributable to shareholders of CBAK Energy Technology, Inc.     11,790,032       (9,378,119
                 
Weighted average shares outstanding -basic (note)     89,928,357       89,247,119  
Dilutive unvested shares unit     229,955       -  
Weighted average shares outstanding–- diluted     90,158,312       89,247,119  
                 
Income (loss) per share                
- Basic   $ 0.13     $ (0.10
- Diluted   $ 0.13     $ (0.10

 

Note: Including 5,384 vested restricted shares granted pursuant to the 2015 Plan that were not yet issued

 

For the years ended December 31, 2024 and 2025, unvested options were anti-dilutive and excluded from shares used in the diluted computation.

Historical Timeline

Fiscal YearFiled
2025Mar 31, 2026Showing above
2024Mar 17, 2025
2023Mar 15, 2024
2022Apr 14, 2023
2016Jan 13, 2017
2015Jan 13, 2016

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.