NOTE 16 – EARNINGS PER SHARE

 

Basic net loss per share is computed by dividing net loss attributable to the common stockholders, decreased with respect to net income or increased with respect to net loss by dividends declared on preferred stock by using the weighted-average number of common shares outstanding. The dilutive effect of incremental common shares potentially issuable under outstanding options, warrants and restricted shares is included in diluted earnings per share in 2025 and 2024 utilizing the treasury stock method. The computations of basic and diluted per share data were as follows:

 

 

 

2025

 

 

2024

 

Numerator for Basic and Diluted Earnings Per Share:

 

 

 

 

 

 

Net loss attributable to common stockholders

 

$(19,144,998 )

 

$(22,378,042 )

Denominator for Basic Earnings Per Share:

 

 

 

 

 

 

 

 

Weighted Average Shares

 

 

30,289,072

 

 

 

19,147,726

 

Potentially Dilutive Common Shares

 

 

 

 

 

 

 

 

Adjusted Weighted Average Shares

 

 

30,289,072

 

 

 

19,147,726

 

Basic and Diluted Net Loss per Share

 

 

(0.63 )

 

 

(1.17 )

 

The following table summarized the potential shares of common stock that were excluded from the computation of diluted net loss per share for the years ended December 31, 2025 and 2024 as such shares would have had an anti-dilutive effect:

 

 

 

2025

 

 

2024

 

Common Stock Warrants

 

 

12,926,507

 

 

 

12,926,507

 

Common Stock Options

 

 

-

 

 

 

-

 

Convertible Debt

 

 

20,285,525

 

 

 

-

 

Total

 

 

33,212,032

 

 

 

12,926,507

 

Historical Timeline

Fiscal YearFiled
2025Apr 15, 2026Showing above
2024Apr 15, 2025
2022Apr 12, 2023

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.