Solana Co Earnings Per Share Disclosure
10.BASIC AND DILUTED LOSS PER SHARE
The table below presents the computation of basic and diluted loss per share (in thousands, except share and per share information):
Years Ended | ||||||
December 31, | ||||||
2024 |
| 2023 | ||||
Basic: |
|
|
| |||
Net loss available to common stockholders — basic | $ | (11,742) | $ | (8,850) | ||
Weighted average common shares outstanding — basic (1) |
| 2,709,781 |
| 607,890 | ||
Loss per share - basic | $ | (4.33) | $ | (14.56) | ||
|
|
| ||||
Diluted: |
|
|
| |||
Net loss available to common stockholders — diluted (2) | $ | (11,742) | $ | (8,850) | ||
Weighted average common shares outstanding — diluted (1) |
| 2,709,781 |
| 607,890 | ||
Loss per share — diluted | $ | (4.33) | $ | (14.56) | ||
(1) | In May 2024, in connection with the 2024 Public Offering, the Company issued and sold Pre-funded Warrants exercisable for an aggregate of 2,147,222 shares of Common Stock. The total price of the Pre-funded Warrants is $2.25 per share, $2.249 of which was pre-funded and paid to the Company upon issuance of the Pre-funded Warrants. The exercise price of the Pre-funded Warrants is $0.001 per share. The Pre-funded Warrants are immediately exercisable and do not expire. As of December 31, 2024, 2,052,703 Pre-funded Warrants were exercised and 12,222 Pre-funded Warrants remained outstanding. As the remaining shares underlying the Pre-funded Warrants are exercisable for nominal consideration of $0.001 per share, 12,222 in common shares underlying the unexercised Pre-funded Warrants were considered outstanding for purposes of the calculation of loss per share for the year ended December 31, 2024. Refer to Note 8 for additional information about the Pre-funded Warrants. |
(2) | For the years ended December 31, 2024 and 2023, no adjustment was made to the numerator. |
The following outstanding securities, presented based on amounts outstanding as of the end of each period, were not included in the computation of diluted loss per share for the periods indicated, as they would have been anti-dilutive due to the net loss in each period.
Years Ended | ||||
December 31, | ||||
2024 |
| 2023 | ||
Stock options | 2,092,461 | 245,830 | ||
Restricted stock units | — | 2,228 | ||
Warrants (1) | 6,460,712 | 637,059 | ||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2024 | Mar 25, 2025 | Showing above |
| 2023 | Mar 28, 2024 | |
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.