NOVAVAX INC Earnings Per Share Disclosure
Year Ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| Numerator: | |||||||||||||||||
| Net income (loss), basic | $ | 440,302 | $ | (187,499) | $ | (545,062) | |||||||||||
| Interest on convertible notes | 5,442 | — | — | ||||||||||||||
| Net income (loss), dilutive | 445,744 | (187,499) | (545,062) | ||||||||||||||
| Denominator: | |||||||||||||||||
| Weighted average number of common shares outstanding, basic | 161,991 | 152,190 | 100,768 | ||||||||||||||
| Effect of dilutive securities | 11,112 | — | — | ||||||||||||||
| Weighted average number of common shares outstanding, dilutive | 173,103 | 152,190 | 100,768 | ||||||||||||||
| Net income (loss) per share: | |||||||||||||||||
| Basic | $ | 2.72 | $ | (1.23) | $ | (5.41) | |||||||||||
| Diluted | $ | 2.58 | $ | (1.23) | $ | (5.41) | |||||||||||
| Anti-dilutive securities excluded from calculations of diluted net income per share | 14,795 | 24,114 | 23,620 | ||||||||||||||
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.