WisdomTree, Inc. Earnings Per Share Disclosure
20. Earnings Per Share
The following tables set forth reconciliations of the basic and diluted earnings per share computations for the periods presented:
| Years Ended December 31, | ||||||||||||
| Basic Earnings per Share | 2025 | 2024 | 2023 | |||||||||
| Net income | $ | 109,133 | $ | 66,693 | $ | 102,546 | ||||||
| Less: Excise taxes on stock repurchases | (717 | ) | (1,868 | ) | ||||||||
| Less: Loss on repurchase of Series A Preferred Stock | (11,375 | ) | ||||||||||
| Less: Income distributed to participating securities | (1,406 | ) | (2,770 | ) | ||||||||
| Less: Undistributed income allocable to participating securities | (27 | ) | (2,183 | ) | (12,680 | ) | ||||||
| Add: Gain on repurchase of Series C Preferred Stock | 7,966 | |||||||||||
| Net income available to common stockholders—Basic EPS | $ | 108,389 | $ | 49,861 | $ | 95,062 | ||||||
| Weighted average common shares (in thousands) | 140,376 | 144,630 | 144,707 | |||||||||
| Basic earnings per share | $ | 0.77 | $ | 0.34 | $ | 0.66 | ||||||
| Years Ended December 31, | ||||||||||||
| Diluted Earnings per Share | 2025 | 2024 | 2023 | |||||||||
| Net income available to common stockholders | $ | 108,389 | $ | 49,861 | $ | 95,062 | ||||||
| Add back: Undistributed income allocable to participating securities | 27 | 2,183 | 12,680 | |||||||||
| Less: Reallocation of undistributed income allocable to participating securities considered potentially dilutive | (26 | ) | (2,120 | ) | (12,449 | ) | ||||||
| Net income available to common stockholders—Diluted EPS | $ | 108,390 | $ | 49,924 | $ | 95,293 | ||||||
| Weighted Average Diluted Shares (in thousands): | ||||||||||||
| Weighted average common shares | 140,376 | 144,630 | 144,707 | |||||||||
| Dilutive effect of common stock equivalents, excluding participating securities | 4,515 | 4,623 | 3,120 | |||||||||
| Weighted average diluted shares, excluding participating securities (in thousands) | 144,891 | 149,253 | 147,827 | |||||||||
| Diluted earnings per share | $ | 0.75 | $ | 0.33 | $ | 0.64 | ||||||
Diluted earnings per share presented above is calculated using the two-class method as this method results in the lowest diluted earnings per share amount for common stock. During the years ended December 31, 2025 and 2024, the Company recognized excise taxes on stock repurchases of $717 and $1,868, respectively. In addition, during the year ended December 31, 2024, the Company recognized a loss on the repurchase of the Series A Preferred Stock of $11,375 and a gain on the repurchase of Series C Preferred Stock of $7,966. These items are excluded from net income but are required to be added to net income to arrive at income available to common stockholders in the calculation of earnings per share.
Total antidilutive non-participating common stock equivalents were 113 during the year ended December 31, 2025 (shares herein are reported in thousands). There were antidilutive non-participating common stock equivalents during the years ended December 31, 2024 and 2023.
There were 24 potential common shares associated with the conversion option embedded in the Convertible Notes included in weighted average diluted shares for the year ended December 31, 2025. There were potential common shares associated with the conversion option embedded in the Convertible Notes included in weighted average diluted shares for the years ended December 31, 2024 and 2023 as the Company’s average stock price was lower than the conversion price.
The following table reconciles weighted average diluted shares as reported on the Company’s Consolidated Statements of Operations for the years ended December 31, 2025, 2024 and 2023, which are determined pursuant to the treasury stock method, to the weighted average diluted shares used to calculate diluted earnings per share as disclosed in the table above:
| Years Ended December 31, | ||||||||||||
| Reconciliation of Weighted Average Diluted Shares (in thousands) | 2025 | 2024 | 2023 | |||||||||
| Weighted average diluted shares as disclosed on the Consolidated Statements of Operations | 144,939 | 158,844 | 170,413 | |||||||||
| Less: Participating securities: | ||||||||||||
| Weighted average shares of common stock issuable upon conversion of the Series A Preferred Stock (Note 22) | (9,068 | ) | (14,750 | ) | ||||||||
| Weighted average shares of common stock issuable upon conversion of the Series C Preferred Stock (Note 12) | (6,992 | ) | ||||||||||
| Potentially dilutive restricted stock awards | (48 | ) | (523 | ) | (844 | ) | ||||||
| Weighted average diluted shares used to calculate diluted earnings/(loss) per share as disclosed in the table above | 144,891 | 149,253 | 147,827 | |||||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 25, 2026 | Showing above |
| 2024 | Feb 26, 2025 | |
| 2023 | Feb 23, 2024 | |
| 2022 | Feb 28, 2023 | |
| 2021 | Feb 25, 2022 | |
| 2020 | Feb 19, 2021 | |
| 2019 | Feb 28, 2020 | |
| 2018 | Mar 1, 2019 | |
| 2017 | Mar 1, 2018 | |
| 2016 | Mar 1, 2017 | |
| 2015 | Feb 29, 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.