7. CHANGE IN NET ASSETS FROM OPERATIONS PER COMMON SHARE

The following information sets forth the computation of basic and diluted per share net increase in net assets resulting from operations ($ in thousands, except per share data):

 

 

Years Ended September 30,

 

 

 

2025

 

 

2024

 

 

2023

 

Numerator for net increase (decrease) in net assets resulting from operations

 

$

32,726

 

 

$

48,851

 

 

$

(33,807

)

Denominator for basic and diluted weighted average shares

 

 

65,296,094

 

 

 

65,246,011

 

 

 

65,224,500

 

Basic and diluted net increase (decrease) in net assets per share resulting from operations

 

$

0.50

 

 

$

0.75

 

 

$

(0.52

)

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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.