Royalty Pharma plc Earnings Per Share Disclosure
| Years Ended December 31, | |||||||||||||||||
| 2025 | 2024 | 2023 | |||||||||||||||
| Numerator | |||||||||||||||||
| Consolidated net income | $ | 1,324,192 | $ | 1,330,813 | $ | 1,700,088 | |||||||||||
| Less: Net income attributable to the Continuing Investors Partnerships | 231,260 | 276,893 | 392,726 | ||||||||||||||
| Less: Net income attributable to the Legacy Investors Partnerships | 232,524 | 194,937 | 172,528 | ||||||||||||||
Less: Net income attributable to the Founder’s Equity(1) | 60,243 | — | — | ||||||||||||||
| Less: Net income attributable to the RP Holdings Class E Interests Holders | 29,218 | — | — | ||||||||||||||
| Net income attributable to Royalty Pharma plc - basic | 770,947 | 858,983 | 1,134,834 | ||||||||||||||
| Add: Reallocation of net income attributable to the Continuing Investors Partnerships from the assumed exchanges of Class B ordinary shares | 231,260 | 276,893 | 392,726 | ||||||||||||||
| Add: Reallocation of net income attributable to the Holders of RP Holdings Class E Interests from the assumed exchanges of eligible Class B ordinary shares | 3,315 | — | — | ||||||||||||||
| Net income attributable to Royalty Pharma plc - diluted | $ | 1,005,522 | $ | 1,135,876 | $ | 1,527,560 | |||||||||||
| Denominator | |||||||||||||||||
| Weighted average Class A ordinary shares outstanding - basic | 429,801 | 448,185 | 447,601 | ||||||||||||||
| Add: Dilutive effects as shown separately below | |||||||||||||||||
| Assumed exchanges of Class B ordinary shares by Continuing Investors Partnerships | 132,616 | 145,911 | 155,292 | ||||||||||||||
| Unvested RSUs | 14 | 12 | 7 | ||||||||||||||
| Shares contingently issuable for the Equity Performance Awards | 270 | — | — | ||||||||||||||
| Assumed exchanges of eligible Class B ordinary shares by Holders of RP Holdings Class E Interests | 1,754 | — | — | ||||||||||||||
| Weighted average Class A ordinary shares outstanding - diluted | 564,455 | 594,108 | 602,900 | ||||||||||||||
| Earnings per Class A ordinary share - basic | $ | 1.79 | $ | 1.92 | $ | 2.54 | |||||||||||
| Earnings per Class A ordinary share - diluted | $ | 1.78 | $ | 1.91 | $ | 2.53 | |||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 11, 2026 | Showing above |
| 2024 | Feb 12, 2025 | |
| 2023 | Feb 15, 2024 | |
| 2022 | Feb 15, 2023 | |
| 2021 | Feb 15, 2022 | |
| 2020 | Feb 24, 2021 | |
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.