PURE CYCLE CORP Earnings Per Share Disclosure
NOTE 15 – EARNINGS PER SHARE
Certain outstanding options are excluded from the diluted earnings per share calculation because they are anti-dilutive (i.e., their assumed conversion into common stock would increase rather than decrease earnings per share). No options were excluded for the fiscal years ended August 31, 2025 and 2024.
Year Ended | ||||||
(In thousands, except share and per share amounts) |
| August 31, 2025 |
| August 31, 2024 | ||
Net income | $ | 13,110 | $ | 11,613 | ||
Basic weighted average common shares | 24,076,317 | 24,083,001 | ||||
Effect of dilutive securities | 91,212 | 57,945 | ||||
Weighted average shares applicable to diluted earnings per share | 24,167,529 | 24,140,946 | ||||
Earnings per share - basic | $ | 0.54 | $ | 0.48 | ||
Earnings per share - diluted | $ | 0.54 | $ | 0.48 | ||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Nov 12, 2025 | Showing above |
| 2024 | Nov 13, 2024 | |
| 2023 | Nov 15, 2023 | |
| 2022 | Nov 14, 2022 | |
| 2021 | Nov 10, 2021 | |
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.