GLADSTONE COMMERCIAL CORPGOOD

GLADSTONE COMMERCIAL CORP Earnings Per Share Disclosure

10-KFiled Feb 18, 20262 min read
Earnings (loss) per Share of Common Stock
The following tables set forth the computation of basic and diluted earnings (loss) per share of common stock for the years ended December 31, 2025, 2024 and 2023, respectively. The OP Units held by Non-controlling OP Unitholders (which may be redeemed for shares of common stock) have been excluded from the diluted earnings (loss) per share calculation, as these would be anti-dilutive. Net income (loss) figures are presented net of such non-controlling interests in the earnings (loss) per share calculation.

We computed basic earnings (loss) per share for the years ended December 31, 2025, 2024 and 2023, respectively, using the weighted average number of shares outstanding during the periods. The diluted earnings (loss) per share for the years ended December 31, 2025, 2024 and 2023, would reflect additional shares of common stock related to our convertible Senior Common Stock, if the effect of conversion would be dilutive, that would have been outstanding if such dilutive potential shares of common stock had been issued, as well as an adjustment to net income (loss) available (attributable) to common stockholders as applicable to common stockholders that would result from their assumed issuance (dollars in thousands, except per share amounts).

 For the year ended December 31,
 202520242023
Calculation of basic and diluted earnings per share of common stock:
Net income (loss) available (attributable) to common stockholders$6,591 $11,124 $(7,738)
Denominator for basic and diluted weighted average shares of common stock (1) (2)46,538,232 41,766,263 39,943,167 
Basic and diluted earnings per share of common stock$0.14 $0.27 $(0.19)
(1)The weighted average number of OP Units held by Non-controlling OP Unitholders was 39,474, 157,160, and 382,563 for the years ended December 31, 2025, 2024, and 2023, respectively.
(2)We excluded convertible shares of Senior Common Stock of 322,315, 330,456 and 345,132 from the calculation of diluted earnings (loss) per share for the years ended December 31, 2025, 2024 and 2023, respectively, because these shares were anti-dilutive.

Historical Timeline

Fiscal YearFiled
2025Feb 18, 2026Showing above
2024Feb 18, 2025
2023Feb 21, 2024
2022Feb 22, 2023

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.

Other Available Disclosures

RevenueDebtCommitmentsNew Standards