Quarterly report [Sections 13 or 15(d)]

Net (Loss) Income per Share

v3.25.3
Net (Loss) Income per Share
 9 Months Ended
Sep. 30, 2025
Earnings Per Share [Abstract]  
Net (Loss) Income per Share
13.
Net (Loss) Income per Share

The Company has two classes of common stock, Class A and Class B. Class B common stock has no economic rights, and therefore, has been excluded from the computation of basic and diluted net earnings (loss) per share. The Pre-Funded Warrants are participating securities because they are entitled to participate in dividends with Class A common stock. As a result, a portion of net income is allocated to these warrants in the computation of basic earnings per share, in accordance with the two-class method.

The computation of net (loss) income per share and weighted average Class A common stock outstanding for the period presented is as follows:

 

 

Three Months Ended September 30,

 

 

Nine Months Ended September 30,

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

Numerator:

 

 

 

 

 

 

 

 

 

 

 

 

Net (loss) income

 

$

(19,676

)

 

$

(12,473

)

 

$

76,399

 

 

$

(54,576

)

Income allocated to participating Securities Purchase Agreement Warrants

 

 

—

 

 

 

—

 

 

 

(225

)

 

 

—

 

Basic net (loss) income attributable to common stockholders

 

 

(19,676

)

 

 

(12,473

)

 

 

76,174

 

 

 

(54,576

)

Removal of mark-to-market adjustment for 2022 Blue Torch Warrants

 

 

—

 

 

 

—

 

 

 

(1,472

)

 

 

—

 

Removal of mark-to-market adjustment for 2023 Blue Torch Warrants

 

 

—

 

 

 

—

 

 

 

(2,136

)

 

 

—

 

Adjustment to income allocated to participating Securities Purchase Agreement Warrants

 

 

—

 

 

 

—

 

 

 

49

 

 

 

—

 

Dilutive net (loss) income attributable to common stockholders

 

$

(19,676

)

 

$

(12,473

)

 

$

72,615

 

 

$

(54,576

)

Denominator:

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average Class A common stock outstanding - basic

 

 

32,501,417

 

 

 

24,921,585

 

 

 

30,249,828

 

 

 

23,745,015

 

Effect of dilutive securities:

 

 

 

 

 

 

 

 

 

 

 

 

Stock Options

 

 

—

 

 

 

—

 

 

 

104,837

 

 

 

—

 

RSUs

 

 

—

 

 

 

—

 

 

 

745,212

 

 

 

—

 

2022 Blue Torch Warrants

 

 

—

 

 

 

—

 

 

 

131,119

 

 

 

—

 

2023 Blue Torch Warrants

 

 

—

 

 

 

—

 

 

 

179,140

 

 

 

—

 

Weighted-average Class A common stock outstanding - diluted

 

 

32,501,417

 

 

 

24,921,585

 

 

 

31,410,136

 

 

 

23,745,015

 

Class A common stock:

 

 

 

 

 

 

 

 

 

 

 

 

Net (loss) income per share - basic

 

$

(0.61

)

 

$

(0.50

)

 

$

2.52

 

 

$

(2.30

)

Net (loss) income per share - diluted

 

$

(0.61

)

 

$

(0.50

)

 

$

2.31

 

 

$

(2.30

)

The Company applies the treasury stock method to stock options, RSUs, and shares issuable under the 2021 ESPP. Shares subject to contingent issuance, such as contingent earnout shares and PSUs, are included in the calculation of diluted earnings per share only when the relevant performance or market conditions are met, assuming the end of the reporting period coincides with the end of the measurement period. The Company applies the more dilutive method between the two-class method and the treasury stock method when calculating diluted income per share. For periods in which the Company reports a net loss, potentially dilutive securities are excluded from the calculation, as including them would be anti-dilutive.

The following securities were not included in the computation of diluted net (loss) income per share because their effect would be anti-dilutive or the issuance of such shares is contingent upon the satisfaction of certain conditions that were not met by the end of the period:

 

2025

 

 

2024

 

Stock options

 

 

1,612,985

 

 

 

2,001,787

 

RSUs, PSUs, and Potential ESPP Shares

 

 

2,502,966

 

 

 

2,889,872

 

Credit Agreement Warrants

 

 

24,834

 

 

 

1,058,940

 

Contingent Earnout Shares

 

 

912,600

 

 

 

—

 

 

 

5,053,385

 

 

 

5,950,599