Note 10—Income (Loss) Per Share

The net income (loss) per share attributable to common stockholders is allocated based on the contractual participation rights of the Class A common stock and Class B common stock as if the income for the year has been distributed. As the liquidation and dividend rights for Class A and Class B common stock are identical, the net loss attributable to all common stockholders is allocated on a proportionate basis.

The following table sets forth the computation of the Company’s basic and diluted net income (loss) per share:

 

 

Fiscal Years Ended August 31,

 

 

 

2025

 

 

2024

 

 

2023

 

 

 

Class A

 

 

Class B

 

 

Class A

 

 

Class B

 

 

Class A

 

 

Class B

 

 

 

 

 

 

(amounts in thousands, except per share data)

 

 

 

 

Net income (loss) attributable to common stockholders – basic

 

$

(1,744

)

 

$

(160

)

 

$

(8,018

)

 

$

(786

)

 

$

1,356

 

 

$

146

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) attributable to common stockholders – diluted

 

$

(1,744

)

 

$

(160

)

 

$

(8,018

)

 

$

(786

)

 

$

1,361

 

 

$

141

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding – basic

 

 

10,916

 

 

 

1,000

 

 

 

10,204

 

 

 

1,000

 

 

 

9,305

 

 

 

1,000

 

Dilutive effect of stock-based awards

 

 

 

 

 

 

 

 

 

 

 

 

 

 

335

 

 

 

 

Weighted average common shares outstanding – diluted

 

 

10,916

 

 

 

1,000

 

 

 

10,204

 

 

 

1,000

 

 

 

9,640

 

 

 

1,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) per share attributable to common stockholders – basic

 

$

(0.16

)

 

$

(0.16

)

 

$

(0.79

)

 

$

(0.79

)

 

$

0.15

 

 

$

0.15

 

Net income (loss) per share attributable to common stockholders – diluted

 

$

(0.16

)

 

$

(0.16

)

 

$

(0.79

)

 

$

(0.79

)

 

$

0.14

 

 

$

0.14

 

 

The Company computes basic income (loss) per common share using net income (loss) and the weighted average number of common shares outstanding during the period, and computes diluted income (loss) per common share using net income (loss) and the weighted average number of common shares and potentially dilutive common shares outstanding during the period. Potentially dilutive common shares include dilutive outstanding employee stock options, RSUs and PSUs.

For the fiscal years ended August 31, 2025, August 31, 2024 and August 31, 2023, there were 651 thousand, 647 thousand and 685 thousand shares of common stock, respectively, subject to outstanding employee stock options, RSUs and PSUs that were excluded from the calculation of diluted income per share because their inclusion would have been anti-dilutive.

Historical Timeline

Fiscal YearFiled
2025Nov 6, 2025Showing above
2020Nov 18, 2020

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.