Company: DMRC
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001437749-25-034816
Chunk: 20

Company: Digimarc CORP
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 8
Chunk 20
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   7. Earnings Per Share
    
   The Company calculates basic and diluted earnings per share in accordance with ASC No. 260, “Earnings Per Share,” using the treasury stock method. 
    
   Basic earnings per share excludes dilution and is calculated by dividing earnings by the weighted-average number of common shares outstanding for the period. Diluted earnings per share is calculated by dividing earnings by the weighted-average number of common shares, as adjusted for the potentially dilutive effect of unvested RSUs and PRSUs. The dilutive effect of unvested RSUs and PRSUs is determined using the treasury stock method. RSAs are included in shares outstanding on the date of grant.
    
   The following table reconciles earnings (loss) per share:

       Three Months Ended September 30,    Nine Months Ended September 30,  
   2025    2024    2025    2024  
 Basic Earnings (Loss) per Share:                 
 Net loss — basic  $(8,152) $(10,754) $(28,102) $(30,362)
 Weighted average shares outstanding — basic   21,709   21,435   21,614   21,187 
 Basic loss per share  $(0.38) $(0.50) $(1.30) $(1.43)
                 
 Diluted Earnings (Loss) per Share:                 
 Net loss — diluted  $(8,152) $(10,754) $(28,102) $(30,362)
 Weighted average shares outstanding — diluted   21,709   21,435   21,614   21,187 
 Diluted loss per share  $(0.38) $(0.50) $(1.30) $(1.43)

   The following table indicates the stock equivalents related to unvested RSUs and PRSUs that were anti-dilutive and excluded from diluted earnings (loss) per share calculations:

       Three Months Ended September 30,    Nine Months Ended September 30,  
   2025    2024    2025    2024  
 Anti-dilutive shares due to net loss   —   95   —   85 

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