Easterly Government Properties, Inc. Earnings Per Share Disclosure
11. Earnings Per Share
Basic earnings or loss per share of common stock (“EPS”) is calculated by dividing net income or loss attributable to common stockholders by the weighted average shares of common stock outstanding for the periods presented. Diluted EPS is computed after adjusting the basic EPS computation for the effect of dilutive common equivalent shares outstanding during the periods presented. Unvested restricted shares of common stock and unvested LTIP units are considered participating securities which require the use of the two-class method for the computation of basic and diluted earnings per share.
The following table sets forth the computation of our basic and diluted earnings per share of common stock for the years ended December 31, 2025, 2024 and 2023 and has been retroactively adjusted to reflect the Reverse Stock Split and Reverse Unit Split, see Note 1 Organization and Basis of Presentation (dollars in thousands, except per share amounts):
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|
For the years ended December 31, |
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|
|
2025 |
|
|
2024 |
|
|
2023 |
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|||
Numerator |
|
|
|
|
|
|
|
|
|
|||
Net income |
|
$ |
13,557 |
|
|
$ |
20,578 |
|
|
$ |
21,060 |
|
Less: Non-controlling interest in Operating Partnership |
|
|
(554 |
) |
|
|
(1,025 |
) |
|
|
(2,256 |
) |
Net income available to Easterly Government |
|
|
13,003 |
|
|
|
19,553 |
|
|
|
18,804 |
|
Less: Dividends on participating securities |
|
|
(683 |
) |
|
|
(554 |
) |
|
|
(599 |
) |
Net income available to common stockholders |
|
$ |
12,320 |
|
|
$ |
18,999 |
|
|
$ |
18,205 |
|
Denominator for basic EPS |
|
|
44,922,497 |
|
|
|
41,377,580 |
|
|
|
37,705,666 |
|
Dilutive effect of share-based compensation awards |
|
|
7,782 |
|
|
|
7,819 |
|
|
|
7,251 |
|
Dilutive effect of LTIP units (1) |
|
|
127,616 |
|
|
|
118,019 |
|
|
|
107,874 |
|
Dilutive effect of shares issuable under forward |
|
|
— |
|
|
|
— |
|
|
|
1,630 |
|
Denominator for diluted EPS |
|
|
45,057,895 |
|
|
|
41,503,418 |
|
|
|
37,822,421 |
|
Basic EPS |
|
$ |
0.27 |
|
|
$ |
0.46 |
|
|
$ |
0.48 |
|
Diluted EPS |
|
$ |
0.27 |
|
|
$ |
0.46 |
|
|
$ |
0.48 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 23, 2026 | Showing above |
| 2024 | Feb 25, 2025 | |
| 2023 | Feb 27, 2024 | |
| 2022 | Feb 28, 2023 | |
| 2021 | Feb 28, 2022 | |
| 2020 | Feb 24, 2021 | |
| 2019 | Feb 25, 2020 | |
| 2018 | Feb 28, 2019 | |
| 2017 | Mar 1, 2018 | |
| 2016 | Mar 2, 2017 | |
| 2015 | Mar 2, 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.