Net Income (Loss) per Share

6 Months Ended

Jun. 30, 2025

Note 18 – Net Income (Loss) per Share

ASC Topic 260, "Earnings Per Share" requires the use of the two-class method of computing both basic and diluted earnings (loss) per share for all periods presented for each class of common stock and participating securities. Under the two-class method, all earnings (distributed and undistributed) are allocated to common shares and participating securities according to their respective rights to receive dividends. The unvested RSUs granted under our Equity Incentive Plans to certain employees of the Manager qualify as participating securities as RSUs have non-forfeitable rights to participate in dividends. Therefore, unvested RSUs are included in the calculation of basic earnings per share.

For the three and six months ended June 30, 2025 and 2024, dilutive earnings per share was calculated under the more dilutive computation of the treasury stock method and the if converted method. Under the treasury stock method, the denominator includes the weighted-average outstanding common shares plus the incremental shares related to participating securities. The incremental shares are determined by subtracting the average unrecognized compensation cost for the period divided by the average stock price from the unvested RSUs.

The table below presents the computation of basic and diluted net income (loss) per share of common stock for the three and six months ended June 30, 2025 and 2024 ($ in thousands except per share data):


	Three Months Ended June 30,						Six Months Ended June 30,
	2025			2024			2025			2024
Net income (loss)	$	20,739		$	35,785		$	46,730		$	(68,739	)
Less: Preferred dividends		(3,068	)		(3,068	)		(6,136	)		(6,136	)
Less: Earnings attributable to participating securities		—			—			—			—
Less: Dividends on participating securities		(556	)		(880	)		(1,117	)		(1,766	)
Net income (loss) attributable to common stockholders, basic and diluted	$	17,115		$	31,837		$	39,477		$	(76,641	)

Number of Shares:
Basic weighted-average shares of common stock outstanding		138,943,566			140,438,676			138,792,126			141,154,140
Diluted weighted-average shares of common stock outstanding		139,208,860			140,611,532			139,103,947			141,154,140

Earnings (Loss) Per Share Attributable to Common Stockholders
Basic	$	0.12		$	0.23		$	0.28		$	(0.54	)
Diluted	$	0.12		$	0.23		$	0.28		$	(0.54	)

For the three and six months ended June 30, 2025, 265,295 and 311,821 incremental shares, respectively, were included in the calculation of diluted net income per share because the effect was dilutive. For the three months ended June 30, 2024, 172,857 incremental shares were included in the calculation of diluted net income per share because the effect was dilutive. For the six months ended June 30, 2024, 283,433 incremental shares were excluded in the calculation of diluted net income per share because the effect was anti-dilutive.