Earnings Per Share

3 Months Ended

Mar. 31, 2026

Basic earnings per share (“EPS”) is calculated by dividing net income attributable to common shareowners by the weighted average number of shares of common stock outstanding for the applicable period. Diluted EPS, calculated using the treasury stock method, reflects the potential dilution that could occur if the Company’s outstanding stock-based compensation awards were issued.

On October 30, 2025, 158,727,456 shares of the Company’s common stock were distributed to Honeywell shareowners as of the Record Date (October 17, 2025). This amount is utilized for the calculations of both basic and diluted EPS for all periods presented prior to the Distribution. It is assumed that there was no dilutive effect of equity securities as the Company had no stock-based compensation awards outstanding prior to the Distribution.

The following table sets forth the reconciliations of the numerators and denominators of the Company’s basic and diluted EPS calculations for the three months ended March 31, 2026 and 2025.


(Amounts in millions, except per share amounts)	For The Three Months Ended March 31,
	2026		2025
Numerator:
Net income	$	105	$	140
Less: Net income attributable to noncontrolling interest	20		6
Net income attributable to Solstice Advanced Materials	$	85	$	134

Denominator:
Weighted average number of common shares outstanding - basic	158.8		158.7
Dilutive effect of stock-based compensation plans	0.5		—
Weighted average number of common shares outstanding - diluted	159.3		158.7

Basic EPS	$	0.53	$	0.85
Diluted EPS	$	0.53	$	0.85

The weighted average potential shares of common stock that were excluded from diluted EPS were 0.1 million at March 31, 2026 because the effect of including those potential shares was anti-dilutive.