Basic and Diluted Earnings (Loss) Per Share
The computation of earnings (loss) per share for the years ended December 31, 2025, 2024, and 2023, is as follows:
Year Ended December 31,
(in thousands, except per share amounts)
2025
2024
2023
Numerator:
Net income (loss)
$30,439
$16,390
$(8,868)
Denominator:
Weighted average shares - basic
356,327
385,737
410,315
Dilutive impact of stock options and restricted stock units
646
6,435
Weighted average shares - diluted
356,973
392,172
410,315
Earnings (loss) per share:
Basic
$0.09
$0.04
$(0.02)
Diluted
$0.09
$0.04
$(0.02)
The following weighted average potentially dilutive shares are excluded from the computation of diluted earnings (loss)
per share for the periods presented because including them would have been anti-dilutive:
Year Ended December 31,
(in thousands)
2025
2024
2023
Stock options and restricted stock units
47,208
20,682
46,606

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.