11. Net Income (Loss) Per Share

 

The following table sets forth the computation of the basic and diluted net income (loss) per share attributable to common stockholders for the twelve months ended December 31, 2025 and 2024, respectively:

 



 

Year Ended December 31,

 

(In thousands, except share and per share data)

 

2025

 

 

2024

 

Numerator:

 



 

 



 

Net income (loss)

 

$

10,039

 

 

$

(72,617

)

Denominator:

 



 

 



 

Weighted average shares outstanding, basic

 

 

38,841,116

 

 

 

26,774,895

 

Dilutive effect of potential common shares

 

 

3,284,816

 

 

 

 

Weighted average shares outstanding, diluted

 

 

42,125,932

 

 

 

26,774,895

 

Basic net income (loss) per share

 

$

0.26

 

 

$

(2.71

)

Diluted net income (loss) per share

 

$

0.24

 

 

$

(2.71

)

Anti-dilutive securities, excluded

 

 

5,859,044

 

 

 

14,812,452

 

 

Potentially dilutive shares, which are based on the weighted-average shares of common stock, stock options, unvested stock units, unvested stock awards, purchase rights granted under the employee stock purchase plan and warrants using the treasury stock method are included when calculating diluted net income (loss) per share attributable to the Company when their effect is dilutive. Because the Company incurred a net loss for the twelve months ended December 31, 2024 none of the potentially dilutive common shares were included in the diluted share calculation for that period as they would have been anti-dilutive.

Historical Timeline

Fiscal YearFiled
2025Mar 5, 2026Showing above
2024Feb 20, 2025
2023Feb 28, 2024

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.