TWIN DISC INC Earnings Per Share Disclosure
R. EARNINGS PER SHARE
The Company calculates basic earnings per share based upon the weighted average number of common shares outstanding during the period, while the calculation of diluted earnings per share includes the dilutive effect of potential common shares outstanding during the period. The calculation of diluted earnings per share excludes all potential common shares if their inclusion would have an anti-dilutive effect.
The components of basic and diluted earnings per share were as follows:
| 2025 | 2024 | |||||||
| Basic: | ||||||||
| Net (loss) income | $ | (1,599 | ) | $ | 11,246 | |||
| Less: Net earnings attributable to noncontrolling interest | (295 | ) | (258 | ) | ||||
| Net (loss) income attributable to Twin Disc, Incorporated | (1,894 | ) | 10,988 | |||||
| Weighted average shares outstanding - basic | 13,856 | 13,683 | ||||||
| Basic Income Per Share: | ||||||||
| Net (loss) income per share - basic | $ | (0.14 | ) | $ | 0.80 | |||
| Diluted: | ||||||||
| Net (loss) income | $ | (1,599 | ) | $ | 11,246 | |||
| Less: Net earnings attributable to noncontrolling interest | (295 | ) | (258 | ) | ||||
| Net (loss) income attributable to Twin Disc, Incorporated | (1,894 | ) | 10,988 | |||||
| Weighted average shares outstanding - basic | 13,856 | 13,683 | ||||||
| Effect of dilutive stock awards | - | 194 | ||||||
| Weighted average shares outstanding - diluted | 13,856 | 13,877 | ||||||
| Diluted Income Per Share: | ||||||||
| Net (loss) income per share - diluted | $ | (0.14 | ) | $ | 0.79 | |||
The following potential common shares were excluded from diluted EPS for the year-ended June 30, 2025 as the Company reported a net loss: 404.3 related to the Company’s unvested PSAs, to the Company’s unvested PSAUs, 121.0 related to the Company’s unvested RS awards, and 55.0 related to the Company’s unvested RSUs.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Sep 5, 2025 | Showing above |
| 2024 | Sep 6, 2024 | |
| 2023 | Sep 8, 2023 | |
| 2022 | Sep 8, 2022 | |
| 2021 | Sep 2, 2021 | |
| 2020 | Aug 26, 2020 | |
| 2019 | Aug 29, 2019 | |
| 2018 | Aug 27, 2018 | |
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.