EARNINGS PER SHARE

12 Months Ended

Dec. 31, 2023

Basic earnings per share is calculated by dividing net income by the weighted-average number of shares outstanding during the period. Diluted earnings per share is calculated by dividing net income by the weighted-average number of

common shares outstanding, after giving effect to all dilutive potential common shares outstanding during the period. Remeasurements to the carrying value of the redeemable noncontrolling interests in equity of subsidiaries are not deemed to be a dividend (see Note 2(w)). According to ASC 480 - Distinguishing Liabilities from Equity, there is no impact on earnings per share in the computation of basic and diluted earnings per share to common shareholders for changes in the carrying value of the redeemable noncontrolling interests in equity, when such changes in carrying value which in substance approximates fair value.

Securities that could potentially dilute basic net income per share in the future that were not included in the computation of diluted net income per share were 2,341,329, 1,651,011, and 1,639,310 during the years ended December 31, 2023, 2022, and 2021, respectively, because to do so would have been anti-dilutive.

Basic and diluted earnings per share were calculated as follows:


	Year Ended December 31,
	2023		2022		2021
Net (loss) income attributable to B. Riley Financial, Inc.	$	(99,910)	$	(159,829)	$	445,054
Preferred stock dividends	(8,057)		(8,008)		(7,457)
Net (loss) income applicable to common shareholders	$	(107,967)	$	(167,837)	$	437,597

Weighted average common shares outstanding:
Basic	29,265,099		28,188,530		27,366,292
Effect of dilutive potential common shares:
Restricted stock units and warrants	—		—		1,514,728
Contingently issuable shares	—		—		124,582
Diluted	29,265,099		28,188,530		29,005,602

Basic (loss) income per common share	$	(3.69)	$	(5.95)	$	15.99
Diluted (loss) income per common share	$	(3.69)	$	(5.95)	$	15.09