OneSpan Inc. Earnings Per Share Disclosure
| Years Ended December 31, | |||||||||||||||||
| (In thousands, except per share data) | 2025 | 2024 | 2023 | ||||||||||||||
| Net income (loss) | $ | 72,904 | $ | 57,082 | $ | (29,799) | |||||||||||
| Weighted average common shares outstanding: | |||||||||||||||||
| Basic | 38,210 | 38,387 | 40,193 | ||||||||||||||
| Incremental shares with dilutive effect: | |||||||||||||||||
| Restricted stock awards | 668 | 698 | — | ||||||||||||||
| Diluted | 38,878 | 39,085 | 40,193 | ||||||||||||||
| Net income (loss) per share: | |||||||||||||||||
| Basic | $ | 1.91 | $ | 1.49 | $ | (0.74) | |||||||||||
| Diluted | $ | 1.88 | $ | 1.46 | $ | (0.74) | |||||||||||
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.