Basic net loss per share is calculated by dividing the net loss by the weighted average number of outstanding shares of common stock each period. Diluted net loss per share is calculated by giving effect to all potential dilutive common stock equivalents, which includes stock options and restricted stock units. Because the Company incurred net losses each period, the basic and diluted calculations are the same. Basic and diluted net loss per share are the same for each class of common stock, as both Class A and Class B stockholders are entitled to the same liquidation and dividend rights.
The following table presents the calculation for basic and diluted net loss per share (in thousands, except share and per share data):
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| Year Ended December 31, |
| 2025 | | 2024 | | 2023 |
| Net loss attributable to common shareholders | $ | (43,327) | | | $ | (61,971) | | | $ | (66,427) | |
| Weighted average common shares outstanding | 58,625,925 | | | 56,935,910 | | | 55,664,404 | |
| Net loss per share, basic and diluted | $ | (0.74) | | | $ | (1.09) | | | $ | (1.19) | |
The following outstanding shares of common stock equivalents were excluded from the calculation of diluted net loss per share for each period, as the impact of including them would have been anti-dilutive.
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| As of December 31, |
| 2025 | | 2024 | | 2023 |
| Stock options outstanding | — | | — | | 27,010 |
| RSUs outstanding | 7,910,544 | | 4,661,191 | | | 3,724,707 |
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| | | | | |
| Total potentially dilutive shares | 7,910,544 | | | 4,661,191 | | | 3,751,717 | |
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.