TWO HARBORS INVESTMENT CORP. Earnings Per Share Disclosure
| Year Ended | |||||||||||||||||
| December 31, | |||||||||||||||||
| (in thousands, except share data) | 2025 | 2024 | 2023 | ||||||||||||||
| Basic (Loss) Earnings Per Share: | |||||||||||||||||
Net (loss) income | $ | (454,300) | $ | 298,168 | $ | (106,371) | |||||||||||
| Dividends on preferred stock | (52,791) | (47,136) | (48,607) | ||||||||||||||
| Gain on repurchase and retirement of preferred stock | — | 644 | 2,973 | ||||||||||||||
Dividends and undistributed earnings allocated to participating restricted stock units | (1,309) | (1,693) | (1,220) | ||||||||||||||
Net (loss) income attributable to common stockholders, basic | $ | (508,400) | $ | 249,983 | $ | (153,225) | |||||||||||
Basic weighted average common shares | 104,111,993 | 103,562,824 | 95,672,143 | ||||||||||||||
Basic (loss) earnings per weighted average common share | $ | (4.88) | $ | 2.41 | $ | (1.60) | |||||||||||
| Diluted (Loss) Earnings Per Share: | |||||||||||||||||
Net (loss) income attributable to common stockholders, basic | $ | (508,400) | $ | 249,983 | $ | (153,225) | |||||||||||
Reallocation impact of undistributed earnings to participating restricted stock units | — | (77) | — | ||||||||||||||
| Interest expense attributable to convertible notes | — | 18,199 | — | ||||||||||||||
Net (loss) income attributable to common stockholders, diluted | $ | (508,400) | $ | 268,105 | $ | (153,225) | |||||||||||
Basic weighted average common shares | 104,111,993 | 103,562,824 | 95,672,143 | ||||||||||||||
Effect of dilutive shares issued in an assumed vesting of performance share units | — | 477,465 | — | ||||||||||||||
Effect of dilutive shares issued in an assumed conversion | — | 9,049,219 | — | ||||||||||||||
| Diluted weighted average common shares | 104,111,993 | 113,089,508 | 95,672,143 | ||||||||||||||
Diluted (loss) earnings per weighted average common share | $ | (4.88) | $ | 2.37 | $ | (1.60) | |||||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 17, 2026 | Showing above |
| 2024 | Feb 18, 2025 | |
| 2023 | Feb 20, 2024 | |
| 2022 | Feb 28, 2023 | |
| 2021 | Mar 1, 2022 | |
| 2020 | Feb 25, 2021 | |
| 2019 | Feb 26, 2020 | |
| 2018 | Feb 27, 2019 | |
| 2017 | Feb 27, 2018 | |
| 2016 | Feb 28, 2017 | |
| 2015 | Feb 26, 2016 | |
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.