Owlet, Inc.OWLT

Owlet, Inc. Earnings Per Share Disclosure

10-KFiled Mar 9, 20262 min read
Net Loss per Share
Basic and diluted net loss per share of common stockholders is presented in conformity with the two-class method required for participating securities. Under the two-class method, net loss is allocated to each class of common stock and participating securities according to dividends declared or accumulated and participation rights in undistributed earnings. The two-class method requires net income available to common stockholders for the period to be allocated between common and participating securities based upon their respective rights to receive dividends as if all income for the period had been distributed.

The Company considers its convertible preferred stock to be participating securities. Under the two-class method, the net loss attributable to common stockholders is not allocated to the convertible preferred stock as the holders of the Company’s convertible preferred stock do not have a contractual obligation to share in the Company’s losses.

As discussed in Note 9, the Company issued redeemable common stock in connection to the WTI loan. The consolidated statements of operations and comprehensive income (loss) include a presentation of income (loss) per redeemable share and income (loss) per non-redeemable share following the two-class method of income per share. Income and losses are shared pro rata between the two classes of shares. Net (loss) income per common share is calculated by dividing the net (loss) income by the weighted average shares of common stock outstanding for the respective period. For a period in which the Company reports a net loss, diluted net loss per common share attributable to common stockholders is the same as basic net loss per common share attributable to common stockholders because potentially dilutive common shares are not assumed to have been issued if their effect is anti-dilutive.

The following table presents the calculation of basic and diluted net loss per share (in thousands, except share and per share amounts):
Year Ended December 31,
20252024
Redeemable Common StockCommon StockRedeemable Common StockCommon Stock
Numerator:
Allocation of net loss attributable to common stockholders$(1,299)$(41,771)$(270)$(17,192)
Accretion on redeemable common stock84 (84)25 (25)
Allocated net loss attributable to common stockholders, basic and diluted$(1,215)$(41,855)$(245)$(17,217)
Denominator:
Weighted average common shares outstanding, basic562,50018,093,925172,13110,951,270
Net loss per share attributable to common stockholders, basic and diluted$(2.16)$(2.31)$(1.42)$(1.57)
The following table summarizes the common stock equivalents of potentially dilutive outstanding securities excluded from the computation of diluted net loss per share due to their anti-dilutive effect:
December 31,
20252024
Stock options237,221 427,555 
RSUs2,193,755 1,451,643 
RSAs—326,153
PSUs375,000 56,391 
ESPP shares committed34,787 26,917 
Common stock warrants1,664,475 11,099,708 
Preferred stock2,872,668 2,872,668 
Total7,377,906 16,261,035 

The Company’s 200,536 unvested earnout shares were excluded from the calculation of basic and diluted per share calculations as the vesting conditions have not yet been met as of December 31, 2025.
Free Sentinel

Want the next Owlet, Inc. earnings per share disclosure the moment it drops?

Set a Sentinel and we'll alert you the moment Owlet, Inc.'s next filing hits EDGAR. No credit card, your email never gets sold.

Track for free

Historical Timeline

Fiscal YearFiled
2025Mar 9, 2026Showing above
2024Mar 11, 2025
2023Mar 8, 2024
2022Apr 6, 2023
2021Mar 25, 2022

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.

Other Available Disclosures

Income TaxesRevenueFair ValuePP&ELeasesSegmentsDebtStock CompensationNew Standards