Income/(Loss) Per Share

Basic income/(loss) per common share is computed by dividing net income/(loss) less cumulative dividends attributable to preferred stock by the weighted average number of common shares outstanding. Shares issued and treasury shares repurchased during the year are weighted for the portion of the year that they were outstanding. Diluted income/(loss) per share is computed in a manner consistent with that of basic income/(loss) per share, while giving effect to all potentially dilutive common shares that were outstanding during the period when there is net income.

Dilutive effect for equity compensation and other equity instruments — The relative performance stock units and non-vested restricted stock units are not considered outstanding for purposes of computing basic income/(loss) per share. However, these instruments are included in the denominator for purposes of computing diluted income/(loss) per share under the treasury stock method for periods when there is net income. The Convertible Senior Notes were convertible, under certain circumstances, into cash or combination of cash and Company’s common stock. The Company was including the potential share settlements, if any, in the denominator for purposes of computing diluted income/(loss) per share under the if converted method for periods when there was net income. The potential shares settlements were calculated as the excess of the Company's conversion obligation over the aggregate principal amount (which was settled in cash), divided by the average share price for the period. During the year ended December 31, 2025, the Company included the potential share settlements in the diluted income per share calculation for the period prior to the redemption date of July 8, 2025.

The reconciliation of NRG's basic and diluted income/(loss) per share is shown in the following table:


	Year Ended December 31,
(In millions, except per share amounts)	2025		2024		2023
Basic income/(loss) per share:
Net income/(loss)	$	864	$	1,125	$	(202)
Less: Cumulative dividends attributable to Series A Preferred Stock	67		67		54
Income/(Loss) Available to Common Stockholders	$	797	$	1,058	$	(256)
Weighted average number of common shares outstanding - basic	195		206		228
Income/(Loss) per weighted average common share — basic	$	4.09	$	5.14	$	(1.12)
Diluted income/(loss) per share:
Net income/(loss)	$	864	$	1,125	$	(202)
Less: Cumulative dividends attributable to Series A Preferred Stock	67		67		54
Income/(Loss) Available to Common Stockholders	$	797	$	1,058	$	(256)
Weighted average number of common shares outstanding - basic	195		206		228
Incremental shares attributable to the issuance of equity compensation (treasury stock method)	2		3		—
Incremental shares attributable to the potential share settlement of Convertible Senior Notes (if converted method)	2		3		—
Weighted average number of common shares outstanding - diluted	199		212		228
Income/(Loss) per weighted average common share — diluted	$	4.01	$	4.99	$	(1.12)

As of December 31, 2025 and 2024, the Company had an insignificant number of outstanding equity instruments that were anti-dilutive and were not included in the computation of the Company’s diluted income per share. As of December 31, 2023, the Company had 6 million of outstanding equity instruments that were anti-dilutive and were not included in the computation of the Company’s diluted loss per share.

Historical Timeline

Fiscal Year	Filed
2025	Feb 24, 2026	Showing above
2020	Mar 1, 2021

2016	Feb 28, 2017

2015	Feb 29, 2016

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.

NRG ENERGY, INC. Earnings Per Share Disclosure

Historical Timeline

About Earnings Per Share Disclosures

Other Available Disclosures