Chewy, Inc.CHWY

Chewy, Inc. Earnings Per Share Disclosure

10-KFiled Mar 25, 20261 min read
Earnings per Share
Basic and diluted earnings per share attributable to the Company’s common stockholders are presented using the two-class method required for participating securities. Under the two-class method, net income attributable to the Company’s common stockholders is determined by allocating undistributed earnings between common stock and participating securities. Undistributed earnings for the periods presented are calculated as net income less distributed earnings. Undistributed earnings are allocated proportionally to the Company’s common Class A and Class B stockholders as both classes are entitled to share equally, on a per share basis, in dividends and other distributions. Basic and diluted earnings per share are calculated by dividing net income attributable to the Company’s common stockholders by the weighted-average shares outstanding during the period.

The following table sets forth basic and diluted earnings per share attributable to the Company’s common stockholders for the periods presented (in millions, except per share data):

Fiscal Year
202520242023
Basic and diluted earnings per share
Numerator
Earnings attributable to common Class A and Class B stockholders
$222.8 $392.7 $39.6 
Denominator
Weighted-average common shares used in computing earnings per share:
Basic414.1421.4429.4
Effect of dilutive share-based awards11.79.62.6
Diluted425.8431.0432.0
Anti-dilutive share-based awards excluded from diluted common shares0.66.811.1
Earnings per share attributable to common Class A and Class B stockholders:
Basic$0.54 $0.93 $0.09 
Diluted$0.52 $0.91 $0.09 

Historical Timeline

Fiscal YearFiled
2026Mar 25, 2026Showing above
2025Mar 26, 2025

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 TaxesRevenuePP&EGoodwill & IntangiblesLeasesSegmentsDebtCommitmentsStock CompensationNew StandardsPay vs Performance