Cartesian Therapeutics, Inc. Earnings Per Share Disclosure
| Year Ended December 31, | |||||||||||
| 2024 | 2023 | ||||||||||
| Numerator: | |||||||||||
| Net loss | $ | (77,424) | $ | (219,710) | |||||||
| Less: CVR distribution to participating securities | — | (37,550) | |||||||||
| Net loss allocable to shares of common stock - basic | (77,424) | (257,260) | |||||||||
Less: Change in fair value of forward contract liability settled in February 2024 | (446) | — | |||||||||
| Net loss allocable to shares of common stock - diluted | $ | (77,870) | $ | (257,260) | |||||||
| Denominator: | |||||||||||
| Weighted-average common shares outstanding - basic | 17,276,822 | 5,170,319 | |||||||||
Plus: Dilutive effect of forward contract liability settled in February 2024 | 81,121 | — | |||||||||
| Weighted-average common shares outstanding - diluted | 17,357,943 | 5,170,319 | |||||||||
| Net loss per share: | |||||||||||
| Basic | $ | (4.48) | $ | (49.76) | |||||||
| Diluted | $ | (4.49) | $ | (49.76) | |||||||
| Year Ended December 31, | |||||||||||
| 2024 | 2023 | ||||||||||
| Common stock options and RSUs | 2,150,273 | 776,865 | |||||||||
| Warrants to purchase common stock | 692,523 | 1,040,813 | |||||||||
| Series A Preferred Stock | 4,026,346 | 14,503,993 | |||||||||
| Series B Preferred Stock | 437,927 | — | |||||||||
| Forward contract to issue Series A Preferred Stock | — | 3,304,677 | |||||||||
| Series A Preferred Stock options | — | 470,403 | |||||||||
| Total | 7,307,069 | 20,096,751 | |||||||||
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.