(Loss) Earnings Per Share
Basic (loss) earnings per share (“EPS”) is calculated by dividing net (loss) income attributable to WillScot common shareholders by the weighted average number of shares of Common Stock outstanding during the period. The shares of Common Stock issued as a result of the vesting of RSUs and RSAs as well as the exercise of stock options are included in EPS based on the weighted average number of days in which they were outstanding during the period. Diluted EPS is computed similarly to basic EPS, except that it includes the potential dilution that could occur if dilutive securities were exercised as determined by using the treasury stock method. Effects of potentially dilutive securities are presented only in periods in which they are dilutive.
The following table reconciles (loss) income from continuing operations attributable to WillScot common shareholders to net (loss) income attributable to common shareholders for the dilutive EPS calculation and the weighted average shares outstanding for the basic earnings per share calculation to the weighted average shares outstanding for the diluted earnings per share calculation for the years ended December 31:
| | | | | | | | | | | | | | | | | |
| (in thousands) | 2025 | | 2024 | | 2023 |
| Numerator: | | | | | |
| (Loss) income from continuing operations | $ | (52,990) | | | $ | 28,129 | | | $ | 341,844 | |
| Income from discontinued operations | — | | | — | | | 134,613 | |
| Net (loss) income | $ | (52,990) | | | $ | 28,129 | | | $ | 476,457 | |
| | | | | |
| Denominator: | | | | | |
| Weighted average Common Shares outstanding - basic | 182,394 | | | 188,102 | | | 198,555 | |
| Dilutive effect of outstanding securities: | | | | | |
| RSAs | — | | | 15 | | | 15 | |
| Time-Based RSUs | — | | | 152 | | | 274 | |
| Performance-Based RSUs | — | | | 1,112 | | | 2,040 | |
| Stock Options | — | | | 911 | | | 966 | |
| Weighted average Common Shares outstanding - dilutive | 182,394 | | | 190,292 | | | 201,850 | |
The following potential common shares were excluded from the computation of dilutive EPS because their effect would have been anti-dilutive:
| | | | | | | | | | | | | | | | | |
| (in thousands) | 2025 | | 2024 | | 2023 |
| | | | | |
| | | | | |
| RSAs | 67 | | | — | | | — | |
| Time-based RSUs | 932 | | | 235 | | | 106 | |
| Performance-based RSUs | 1,189 | | | 645 | | | 277 | |
| Stock Options | 765 | | | — | | | — | |
| | | | | |
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.