LIFECORE BIOMEDICAL, INC. \DE\ Earnings Per Share Disclosure
| Year ended | |||||||||||
| May 25, 2025 | May 26, 2024 | ||||||||||
| Weighted average shares for basic income or loss per share | 34,818,906 | 30,474,298 | |||||||||
Redeemable Convertible Preferred Stock | — | 5,846,612 | |||||||||
| Stock options, RSUs and PSUs | — | 337,276 | |||||||||
| Weighted average shares for diluted income or loss per share | 34,818,906 | 36,658,186 | |||||||||
| May 25, 2025 | |||||
Redeemable Convertible Preferred Stock | 7,000,626 | ||||
| Stock options | 1,260,299 | ||||
RSUs | 1,519,287 | ||||
PSUs | 2,545,000 | ||||
| Total | 12,325,212 | ||||
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.