Invesco Mortgage Capital Inc. Earnings Per Share Disclosure
| In thousands except per share amounts | Years Ended December 31, | ||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| Numerator (income) | |||||||||||||||||
| Basic earnings: | |||||||||||||||||
| Net income (loss) available to common stockholders | 88,173 | 34,763 | (37,541) | ||||||||||||||
| Denominator (weighted average shares) | |||||||||||||||||
| Basic earnings: | |||||||||||||||||
| Shares available to common stockholders | 66,882 | 53,773 | 44,074 | ||||||||||||||
| Effect of dilutive securities: | |||||||||||||||||
| Restricted stock awards | 2 | 2 | — | ||||||||||||||
| Dilutive shares | 66,884 | 53,775 | 44,074 | ||||||||||||||
| Earnings (loss) per share: | |||||||||||||||||
| Net income (loss) attributable to common stockholders | |||||||||||||||||
| Basic | 1.32 | 0.65 | (0.85) | ||||||||||||||
| Diluted | 1.32 | 0.65 | (0.85) | ||||||||||||||
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.