QUINSTREET, INC Earnings Per Share Disclosure
4. Net Income (Loss) per Share
Basic net income (loss) per share is computed by dividing net loss by the weighted-average number of shares of common stock outstanding during the period. Diluted net income (loss) per share is computed by using the weighted-average number of shares of common stock outstanding, including potential dilutive shares of common stock assuming the dilutive effect of outstanding stock options, unvested restricted stock units, and shares issuable related to the ESPP using the treasury stock method.
The following table presents the calculation of basic and diluted net income (loss) per share:
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Fiscal Year Ended June 30, |
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2025 |
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2024 |
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2023 |
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(In thousands, except per share data) |
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Numerator: |
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Net income (loss) |
|
$ |
4,707 |
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|
$ |
(31,331 |
) |
|
$ |
(68,866 |
) |
Denominator: |
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Weighted average shares of common stock used in computing |
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|
56,477 |
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54,917 |
|
|
|
53,799 |
|
Weighted average effect of dilutive securities |
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|
1,823 |
|
|
|
— |
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— |
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Weighted average shares of common stock used in computing diluted net income (loss) per share |
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|
58,300 |
|
|
|
54,917 |
|
|
|
53,799 |
|
Net income (loss) per share: |
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Basic (1) |
|
$ |
0.08 |
|
|
$ |
(0.57 |
) |
|
$ |
(1.28 |
) |
Diluted (1) |
|
$ |
0.08 |
|
|
$ |
(0.57 |
) |
|
$ |
(1.28 |
) |
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Securities excluded from weighted average shares of common stock used in computing diluted net income (loss) per share because the effect would have been anti-dilutive: (2) |
|
|
426 |
|
|
|
4,453 |
|
|
|
4,247 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Aug 21, 2025 | Showing above |
| 2024 | Aug 21, 2024 | |
| 2023 | Aug 21, 2023 | |
| 2022 | Aug 22, 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.