RE/MAX Holdings, Inc. Earnings Per Share Disclosure
5. Earnings (Loss) Per Share and Dividends
Earnings (Loss) Per Share
Basic earnings (loss) per share (“EPS”) measures the performance of an entity over the reporting period. Diluted EPS measures the performance of an entity over the reporting period while giving effect to all potentially dilutive common shares that were outstanding during the period. The treasury stock method is used to determine the dilutive effect of time-based restricted stock units. The dilutive effect of performance-based restricted stock units is measured using the guidance for contingently issuable shares.
The following is a reconciliation of the numerator and denominator used in the basic and diluted EPS calculations (in thousands, except shares and per share information):
| Year Ended | ||||||||
| December 31, | ||||||||
| 2025 | 2024 | 2023 | ||||||
Numerator |
| ||||||||
Net income (loss) attributable to RE/MAX Holdings, Inc. |
| $ | 8,153 | $ | 7,123 | $ | (69,022) | ||
Denominator for basic net income (loss) per share of Class A common stock |
| ||||||||
Weighted average shares of Class A common stock outstanding |
| 19,845,469 | 18,780,200 | 18,111,409 | |||||
Denominator for diluted net income (loss) per share of Class A common stock |
| ||||||||
Weighted average shares of Class A common stock outstanding |
| 19,845,469 | 18,780,200 | 18,111,409 | |||||
Add dilutive effect of the following: |
| ||||||||
Restricted stock (a) |
| 554,579 | 513,627 | — | |||||
Weighted average shares of Class A common stock outstanding, diluted |
| 20,400,048 | 19,293,827 | 18,111,409 | |||||
Net income (loss) attributable to RE/MAX Holdings, Inc. per share of Class A common stock |
| ||||||||
Basic |
| $ | 0.41 | $ | 0.38 | $ | (3.81) | ||
Diluted |
| $ | 0.40 | $ | 0.37 | $ | (3.81) | ||
| (a) | As the Company had a net loss for the year ended December 31, 2023, these shares would have been considered anti-dilutive and therefore there is no effect on the weighted average shares of Class A common stock outstanding EPS calculation. |
Outstanding Class B common stock does not share in the earnings of Holdings and is therefore not a participating security. Accordingly, basic and diluted net income (loss) per share of Class B common stock has not been presented.
Dividends
During the fourth quarter of 2023, in light of the litigation settlement (See Note 13, Commitments and Contingencies) and ongoing challenging housing and mortgage market conditions, the Company’s Board of Directors suspended the Company’s quarterly dividend and no dividends have been paid since. The Company paid a dividend of $0.23 per share in the first three quarters for the year ended December 31, 2023. All dividends were paid during the quarter the dividend was declared and there were no dividends outstanding for any period presented.
Share Repurchases and Retirement
In January 2022, the Company’s Board of Directors authorized a common stock repurchase program of up to $100 million. The share repurchase program has no expiration date and may be suspended or discontinued at any time. During the year ended December 31, 2025, the Company did not repurchase any shares of the Company’s Class A common stock. As of December 31, 2025, $62.5 million remained available under the share repurchase program.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 19, 2026 | Showing above |
| 2024 | Feb 20, 2025 | |
| 2023 | Feb 22, 2024 | |
| 2020 | Feb 25, 2021 | |
| 2019 | Feb 21, 2020 | |
| 2018 | Feb 22, 2019 | |
| 2017 | Mar 15, 2018 | |
| 2016 | Feb 24, 2017 | |
| 2015 | Feb 26, 2016 | |
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.