Solaris Energy Infrastructure, Inc.SEI

Solaris Energy Infrastructure, Inc. Earnings Per Share Disclosure

10-KFiled Feb 27, 20262 min read
Earnings Per Share
Basic earnings per share (“EPS”) is calculated by dividing net income attributable to Class A common stockholders by the weighted-average number of Class A common shares outstanding during the period. The Company’s unvested restricted stock awards are considered participating securities, as they entitle holders to non-forfeitable dividend rights, and basic EPS is therefore calculated using the two-class method.
Diluted EPS is computed by dividing net income attributable to Class A common stockholders (as adjusted, as shown in the table below) by the weighted-average number of Class A common shares outstanding during the period, increased for the assumed issuance of additional shares from potentially dilutive securities. For convertible debt instruments, the if-converted method is used, which assumes conversion at the beginning of the period (or at issuance, if later), and includes an adjustment to add back related after-tax interest expense to the numerator. Potentially dilutive securities are excluded from the calculation of diluted EPS in periods in which their effect would be anti-dilutive.
The following table presents the calculation of basic and diluted EPS for the years ended December 31, 2025, 2024 and 2023:
Year Ended December 31,
Earnings per share:202520242023
Numerator
Net income attributable to Solaris Energy Infrastructure Inc.$30.2 $15.8 $24.3 
Less income attributable to participating securities
(1.3)(1.0)(1.1)
Net income attributable to common stockholders - basic$28.9 $14.8 $23.2 
Convertible notes interest charge, net of tax3.8— — 
Net income attributable to common stockholders - diluted$32.7 $14.8 $23.2 
Denominator
Basic weighted average shares of Class A common stock outstanding41,858,73528,763,18729,693,422
Effect of dilutive securities:
Dilutive convertible notes6,917,364——
Performance-based restricted stock units744,258466,977—
Stock options—4,982—
Diluted weighted-average shares of Class A common stock outstanding49,520,35729,235,14629,693,422
Earnings per share of Class A common stock - basic$0.69 $0.51 $0.78 
Earnings per share of Class A common stock - diluted$0.66 $0.50 $0.78 
The following weighted-average potentially dilutive shares were excluded from the calculation of diluted earnings per share because their inclusion would have been anti-dilutive:
Year Ended December 31,
202520242023
Class B common stock24,041,25718,619,33513,671,971
Restricted stock awards1,899,6371,924,6641,466,069
Performance-based restricted stock units——134,488
Stock options——6,605
Total25,940,89420,543,99915,279,133

Historical Timeline

Fiscal YearFiled
2025Feb 27, 2026Showing above
2024Mar 5, 2025

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.

Other Available Disclosures

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