NOTE 12 – NET LOSS PER SHARE

 

The following table presents the computation of basic and diluted net loss per share for the years ended December 31, 2025 and 2024.

 

         
   Year ended December 31, 
   2025   2024 
   (in thousands, except share amounts) 
Numerator:  $(32,145)  $(29,869)
Net loss          
           
Denominator:          
Weighted-average basic shares outstanding   37,176,527    31,450,727 
Effect of dilutive securities   -    - 
Weighted-average dilutive shares outstanding   37,176,527    31,450,727 
           
Basic and dilutive net loss per share  $(0.86)  $(0.95)

 

The following table sets forth the potentially dilutive securities that have been excluded from the calculation of diluted net loss per share.

 

         
   Year Ended December 31, 
   2025   2024 
Stock options   6,711,979    5,375,323 
Stock warrants   7,930,785    7,897,975 
RSUs   1,221,432    621,364 
Total   15,864,196    13,894,662 

 

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.