Cyclerion Therapeutics, Inc. Earnings Per Share Disclosure
11. Loss per share
Basic and diluted net loss per common share is computed by dividing net loss by the weighted average number of common shares outstanding during the period as follows:
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Year Ended |
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2024 |
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2023 |
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Numerator: |
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Net loss from continuing operations (in thousands) |
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$ |
(3,057 |
) |
|
$ |
(12,593 |
) |
|
Net gain from discontinued operations (in thousands) |
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— |
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|
7,330 |
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|
Total net loss (in thousands) |
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|
(3,057 |
) |
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|
(5,263 |
) |
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Denominator: |
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Weighted average shares used in calculating net gain (loss) per share — basic and diluted (in thousands) |
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2,518 |
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|
2,338 |
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Net gain (loss) per share — basic and diluted |
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Net loss per share from continuing operations |
|
$ |
(1.21 |
) |
|
$ |
(5.39 |
) |
|
Net gain per share from discontinued operations |
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|
— |
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|
|
3.14 |
|
|
Total loss per share |
|
$ |
(1.21 |
) |
|
$ |
(2.25 |
) |
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The Company excludes potential shares of common stock related to Preferred Stock, stock options and RSAs from the calculation of diluted net loss per share since the inclusion of such shares would be anti-dilutive. The following table sets forth potential shares that were considered anti-dilutive for the years ended December 31, 2024 and 2023:
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Year Ended |
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2024 |
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2023 |
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Preferred Stock |
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351,037 |
|
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|
351,037 |
|
Stock Options |
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|
335,448 |
|
|
|
298,868 |
|
RSAs |
|
|
164,174 |
|
|
|
170,937 |
|
|
|
|
850,659 |
|
|
|
820,842 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2024 | Mar 4, 2025 | Showing above |
| 2023 | Mar 5, 2024 | |
| 2022 | Mar 22, 2023 | |
| 2021 | Feb 24, 2022 | |
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.