Company: CELH
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001341766-25-000104
Chunk: 15

Company: Celsius Holdings, Inc.
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 1
Chunk 15
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 The Company will apply the new guidance on a prospective basis and expects ASU 2024-03 and ASU 2025-01 to impact only disclosures with no effect on the Company's financial condition, results of operations or cash flows.

3.    EARNINGS PER SHARE

The Company’s Series A Preferred Stock is classified as a participating security in accordance with ASC Topic 260, Earnings per Share (“EPS”). Net income allocated to the holders of Series A Preferred Stock is based on the Series A stockholders’ proportionate share of weighted average shares of common stock outstanding on an if-converted basis. The Series A Preferred Stock is not contractually obligated to share in losses.

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Celsius Holdings, Inc.Notes to the Condensed Consolidated Financial Statements (Unaudited)June 30, 2025(Tabular dollars in thousands, except per share amounts)

Under the two-class method, for diluted EPS, net income is reallocated to the Series A Preferred Stock, and all potentially dilutive securities based on the contractual participating rights of the respective securities to share in the current earnings as if all of the earnings for the period had been distributed. Shares of common stock issuable under performance stock units ("PSUs") were excluded from the dilutive EPS calculation as the related target goals had not been met as of the reporting period end date.Three Months Ended June 30,Six Months Ended June 30,2025202420252024Numerator:Net income$99,855 $79,783 $144,274 $157,594 Dividends on Series A convertible preferred stock(6,851)(6,838)(13,632)(13,675)Income allocated to participating preferred stock(7,314)(6,289)(10,703)(12,417)Net income attributable to common stockholders$85,690 $66,656 $119,939 $131,502 Effect of dilutive securities:Allocation of earnings to participating securities $7,314 $6,289 $10,703 $12,417 Reallocation of earnings to participating securities(7,250)(6,181)(10,615)(12,197)Net income available to common stockholders after assumed conversions$85,754 $66,764 $120,027 $131,722 Denominator:Weighted average common shares outstanding, basic257,750 233,197 246,536 232,979 D