13. Net Loss Per Share

 

Basic net loss per common share for the years ended December 31, 2024 and 2023 was computed by dividing the net loss attributable to common shareholders of Neonode Inc. for the relevant period by the weighted average number of shares of common stock outstanding during the year. Diluted loss per common share is computed by dividing net loss attributable to common shareholders of Neonode Inc. for the relevant period by the weighted average number of shares of common stock and common stock equivalents outstanding during the year.

 

The Company had no potential common stock equivalents as of December 31, 2024 or 2023.

 

   Years ended
December 31,
 
(In thousands, except per share amounts)  2024   2023 
BASIC AND DILUTED        
Weighted average number of common shares outstanding   15,873    15,322 
           
Loss from continuing operations  $(5,875)  $(5,116)
Loss from discontinued operations   (591)   (5,007)
Net loss  $(6,466)  $(10,123)
           
Loss per share from continuing operations - basic and diluted   (0.37)   (0.33)
Loss per share from discontinued operations - basic and diluted   (0.04)   (0.33)
Net loss per share - basic and diluted  $(0.41)  $(0.66)

Historical Timeline

Fiscal YearFiled
2024Mar 21, 2025Showing above
2023Feb 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.