XTI Aerospace, Inc. Earnings Per Share Disclosure
Note 20 - Net Loss Per Share Attributable to Common Stockholders
The following table presents the calculation of basic and diluted loss per share attributable to common stockholders (in thousands, except share and per share data):
| For
the Years Ended December 31, | ||||||||
| 2024 | 2023 | |||||||
| Net Loss | $ | (35,603 | ) | $ | (25,066 | ) | ||
| Less: Preferred stock return and dividend | (606 | ) | ||||||
| Less: Deemed dividend | (772 | ) | ||||||
| Net Loss Attributable to Common Stockholders, basic and diluted | $ | (36,981 | ) | $ | (25,066 | ) | ||
| Net Loss Per Share - Basic and Diluted | $ | (162.78 | ) | $ | (1,576.48 | ) | ||
| Weighted Average Shares Outstanding, Basic and Diluted | 227,193 | 15,900 | ||||||
The basic earnings per share calculation for years ended December 31, 2024 and 2023 included 2,435 and 2,435 of penny warrants shares, respectively, since the exercise price was $0.01 per share. Additionally, the basic earnings per share calculation for the years ended December 31, 2024 and 2023 included 1,194 shares of common stock that were issuable to Xeriant Inc. (“Xeriant”) related to the joint venture arrangement that expired by its term on May 31, 2023. The shares were issued to Xeriant for no additional consideration immediately prior to the XTI Merger.
The following potentially dilutive shares were excluded from the computation of diluted net loss per share attributable to common stockholders for the periods presented, because including them would have been anti-dilutive (on an as-converted basis):
| For
the Years Ended December 31, | ||||||||
| 2024 | 2023 | |||||||
| Options | 30,509 | 4,647 | ||||||
| Warrants | 1,438 | 655 | ||||||
| Convertible preferred stock | 2 | |||||||
| Convertible notes | 997 | 2,720 | ||||||
| Total | 32,946 | 8,022 | ||||||
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.