OMEROS CORP Earnings Per Share Disclosure

Note 4—Net Loss Per Share

 

Basic net loss per share (“Basic EPS”) is computed by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted net loss per share (“Diluted EPS”) is computed by dividing net loss by the weighted average number of common shares and potentially dilutive common shares outstanding during the period. Our potentially dilutive securities include common shares related to our stock options using the treasury stock method and convertible senior notes calculated using the if-converted method. In periods where we have a net loss from continuing operations but overall net income, we do not compute Diluted EPS because the effect would be antidilutive. When there is a net loss, potentially dilutive securities, like stock options or convertible debt, are typically excluded from the diluted net loss per share calculation. Potentially dilutive securities excluded from Diluted EPS are calculated based on a weighted average of days in the quarter from when the respective transactions occurred and are shown as follows:

 

		Year Ended December 31,
		2025				2024				2023
2029 Notes convertible to common stock (1)			7,248,896				—				—
2026 Notes convertible to common stock (1)(2)(3)			2,614,893				7,980,438				11,132,366
2023 Notes convertible to common stock (4)			—				—				4,318,944
Outstanding options to purchase common stock			2,941,957				252,397				38,462
Total dilutive shares excluded from net loss per share			12,805,746				8,232,835				15,489,772

 

(1)	On May 14, 2025, we exchanged $70.8 million aggregate principal amount of our 2026 Notes for 2029 Notes on a one-for-one basis in the Convertible Note Exchange and recorded a reduction of an additional $10.0 million aggregate principal amount of our 2026 Notes to be equitized pursuant to the Equitization Transaction. The 2029 Notes are subject to a conversion arrangement that potentially increases the dilutive effect of conversion as described in “Note 7 — Debt.”
(2)	The 2026 Notes were subject to a capped call arrangement that potentially reduced the dilutive effect of conversion as described in “Note 7 — Debt.” Any potential impact of the capped call arrangement is excluded from this table. The remaining outstanding 2026 Notes were fully repaid at maturity on February 15, 2026.
(3)	On June 3, 2024, we repurchased $118.1 million aggregate principal amount of our 2026 Notes, reducing any effect of the dilution related to these notes. (For further details refer to “Note 7 — Debt”).
(4)	The 2023 Notes were fully repaid at maturity on November 15, 2023.