NOTE 7

(LOSS) INCOME PER SHARE

 

The following table reconciles the (loss) income and average share amounts used to compute both basic and diluted (loss) income per share:

 

   2024   2023 
   Years Ended 
(Amounts in Thousands, Except for Per Share Amounts)  December 31, 
   2024   2023 
(Loss) income per common share from continuing operations          
(Loss) income from continuing operations, net of taxes  $(19,569)  $918 
Basic (loss) income per share  $(1.30)  $.07 
Diluted (loss) income per share  $(1.30)  $.07 
           
Loss per common share from discontinued operations,          
Loss from discontinued operations, net of taxes  $(410)  $(433)
Basic loss per share  $(.03)  $(.03)
Diluted loss per share  $(.03)  $(.03)
           
Net (loss) income per common share          
Net (loss) income  $(19,979)  $485 
Basic (loss) income per share  $(1.33)  $.04 
Diluted (loss) income per share  $(1.33)  $.04 
           
Weighted average shares outstanding:          
Basic weighted average shares outstanding   15,072    13,506 
Add: dilutive effect of stock options       215 
Add: dilutive effect of warrants       18 
Diluted weighted average shares outstanding   15,072    13,739 

 

For year ended December 31, 2024, 983,267 weighted average shares of common stock underlying options and warrants were excluded from the computation of diluted EPS because the effect would be anti-dilutive.

 

For the year ended December 31, 2023, 32,658 weighted average shares of common stock underlying options were excluded from the computation of diluted EPS because the effect would be anti-dilutive.

 

 

 

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.