Annual report [Section 13 and 15(d), not S-K Item 405]

Basic and Diluted Net Income per Share

v3.26.1
Basic and Diluted Net Income per Share
12 Months Ended
Dec. 31, 2025
Earnings Per Share [Abstract]  
Basic and Diluted Net Income per Share

17. Basic and Diluted Net Income per Share

 

A reconciliation of the number of shares used in the calculation of basic and diluted earnings per share for the years ended December 31, 2025 and 2024 are as follows (rounded to thousands):

 

    2025     2024  
    Years Ended December 31,  
    2025     2024  
             
Basic weighted average number of common shares     4,424       4,387  
Potential dilutive effect of stock-based awards     4       35  
Dilutive effect of preferred stock     23,267       11,312  
Diluted weighted average number of common shares     27,695       15,734  

 

In January 2026, the Company’s preferred stock was converted into common stock thereby increasing the number of basic shares outstanding in 2026. 

 

The following outstanding stock-based awards were excluded from the computation of the effect of dilutive securities on income per share for the following periods as they would have been anti-dilutive (rounded to thousands):

 

    2025     2024  
    Years Ended December 31,  
    2025     2024  
Options     246       277  
Restricted stock units (RSUs)     150       169  
Anti-dilutive securities     396       446