Relay Therapeutics, Inc. Earnings Per Share Disclosure
9. Net Loss per Share
The following table summarizes the computation of basic and diluted net loss per share of the Company:
|
|
Year Ended December 31, |
|
|||||||||
|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
|
(in thousands, except share and per share data) |
|
||||||||||
Net loss |
|
$ |
(276,479 |
) |
|
$ |
(337,708 |
) |
|
$ |
(341,973 |
) |
Net loss per share, basic and diluted |
|
$ |
(1.61 |
) |
|
$ |
(2.36 |
) |
|
$ |
(2.79 |
) |
Weighted average shares of common stock, basic and diluted |
|
|
171,586,558 |
|
|
|
142,867,844 |
|
|
|
122,576,527 |
|
For the years ended December 31, 2025, 2024, and 2023, the weighted-average number of shares of common stock outstanding used to calculate both basic and diluted net loss per share is the same. In computing diluted net loss per share for the years ended December 31, 2025, 2024, and 2023, the Company excluded the following potentially dilutive securities, as the effect would be anti-dilutive and reduce the net loss per share calculated for each period.
|
|
Year Ended December 31, |
|
|||||||||
|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
Options outstanding to purchase common stock |
|
|
19,548,797 |
|
|
|
14,570,218 |
|
|
|
15,610,586 |
|
Unvested and outstanding restricted stock units |
|
|
2,880,484 |
|
|
|
7,811,619 |
|
|
|
3,398,017 |
|
Common stock issued upon milestone achievement |
|
|
— |
|
|
|
— |
|
|
|
1,535,404 |
|
|
|
|
22,429,281 |
|
|
|
22,381,837 |
|
|
|
20,544,007 |
|
The amounts included in the table above for options and RSUs are presented based on amounts outstanding at each period end.
The amounts included in the table above for common stock issued upon milestone achievement are presented based on the weighted-average anti-dilutive effect from shares issued in connection with Contingent Milestone Payments in each of the periods presented.
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.