NOTE 17. LOSS PER SHARE

 

The following table presents a reconciliation of basic net loss per share:

 

   Years ended
June 30,
 
   2025   2024 
Net loss  $(39,240,226)  $(14,767,822)
Weighted average basic and diluted ordinary shares outstanding   56,853,552    54,812,900 
Net loss per basic and diluted share of common stock  $(0.69)  $(0.27)

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.