Dream Finders Homes, Inc.DFH

Dream Finders Homes, Inc. Earnings Per Share Disclosure

10-KFiled Feb 24, 20262 min read
Earnings Per Share
The following weighted-average shares and share equivalents were used to calculate basic and diluted earnings per share (“EPS”) for the years ended December 31, 2025, 2024 and 2023 (in thousands, except share amounts):
Year Ended December 31,
202520242023
Numerator
Net income attributable to Dream Finders Homes, Inc.$217,197 $335,341 $295,900 
Less: Preferred dividends, net
13,500 13,500 13,482 
Net income available to common stockholders(1)
$203,697 $321,841 $282,418 
Denominator
Weighted-average number of common shares outstanding - basic93,106,397 93,507,905 93,066,564 
Add: Common stock equivalent shares(2)
8,190,233 6,789,234 12,960,984 
Weighted-average number of shares outstanding - diluted101,296,630 100,297,139 106,027,548 
(1)For the diluted earnings per share calculation, amounts of preferred dividends associated with redeemable preferred stock that are assumed to be converted are added back to the numerator. Amounts of preferred dividends added back included $13.5 million, $13.5 million and $13.2 million for the years ended December 31, 2025, 2024 and 2023, respectively.
(2)Since the conversion price of the Company’s redeemable preferred stock is based on an average of the closing price of Class A common stock for the 90 trading days immediately preceding the end of the current period, changes in the price of the Class A common stock may significantly affect the number of additional assumed common shares outstanding under the if-converted method for diluted EPS, while the number of redeemable preferred stock shares outstanding is unchanged. Stock-based compensation awards are excluded from the calculation of diluted EPS in the event they are antidilutive. There were 0.7 million, 0.4 million and 0.6 million of antidilutive common stock equivalent shares that were excluded from the diluted earnings per share calculation for the years ended December 31, 2025, 2024 and 2023, respectively.

Historical Timeline

Fiscal YearFiled
2025Feb 24, 2026Showing above
2023Feb 29, 2024
2021Mar 16, 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.

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