Corvus Pharmaceuticals, Inc. Earnings Per Share Disclosure
3. Net Loss per Share
The following table shows the calculation of net loss per share (in thousands, except share and per share data):
Year Ended December 31, | |||||||||
| 2024 |
| 2023 |
| 2022 | ||||
Numerator: |
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|
|
|
| ||||
Net loss - basic and diluted | $ | (62,293) | $ | (27,029) | $ | (41,307) | |||
Denominator: |
|
|
|
|
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Weighted average common shares and prefunded warrants outstanding used to compute basic and diluted net loss per share |
| 60,985,165 |
| 48,025,274 |
| 46,553,511 | |||
Net loss per share, basic and diluted | (1.02) | (0.56) | (0.89) | ||||||
The amounts in the table below were excluded from the calculation of diluted net loss per share, due to their anti-dilutive effect:
Year Ended December 31, | ||||||
| 2024 |
| 2023 |
| 2022 | |
Common warrants (1) | 11,778,238 |
| — |
| — | |
Outstanding options | 11,935,100 |
| 9,244,150 |
| 7,006,250 | |
Total shares of common stock equivalents | 23,713,338 |
| 9,244,150 |
| 7,006,250 | |
| (1) | Based on the treasury stock method, such common warrants that are in-the-money should be included in the calculation of diluted earnings per share (“EPS”) if the impact is not anti-dilutive. Therefore, as the Company was in a net loss position for the year ended December 31, 2024 and other expense from the revaluation of the common warrants was $33.4 million for the year ended December 31, 2024, respectively, the impact of including the common warrants in calculating diluted EPS would be antidilutive and the Company has excluded the common warrants from the calculation of diluted net loss per share. |
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.