Company: HCTI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026218
Chunk: 349

Company: Healthcare Triangle, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1B
Chunk 349
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 compensation expenses related
to stock options of $87 during the year ended December 31, 2024, and $17 for the year ended December 31, 2023.

F-28

14) Net Income per share

The Company presents basic and diluted earnings
per share (“EPS”) data for its common stock. Basic EPS is calculated by dividing the net income attributable to stockholders
of the Company by the weighted average number of shares of common stock outstanding during the period. Diluted EPS is determined by adjusting
the net income attributable to stockholders of the Company and the weighted average number of shares of common stock outstanding during
the period for the effects of all dilutive potential common shares, including awards under stock-based compensation arrangements.

The Company’s unvested restricted stock
awards are considered participating securities under FASB Codification topic, Earnings Per Share, because they entitle holders
to non-forfeitable rights to dividends until the awards vest or are forfeited. When a company has a security that qualifies as a “participating
security,” the Codification requires the use of the two-class method when computing basic EPS. The two-class method is an earnings
allocation formula that determines EPS for each class of common stock and participating security according to dividends declared (or accumulated)
and participation rights in undistributed earnings. In determining the amount of net income to allocate to common stockholders, income
is allocated to both common stock and participating securities based on their respective weighted average shares outstanding for the period,
with net income attributable to common stockholders ultimately equaling net income less net income attributable to participating securities.
Diluted EPS for the Company’s common stock is computed using the more dilutive of the two-class method or the treasury stock method.

Schedule of earning per share

    Twelve Months Ended 

    December 31, 

    2024  
    2023 

    (In thousands) 
  
    Net income attributable to common stockholders 
    $(5,969) 
    $(8,686)
  
    Weighted average shares outstanding used in basic per common share computations 
     5,278,293  
     4,179,140 
  
    Basic / Dilutive EPS 
    $(1.13) 
    $(2.08)

15) Subsequent Events

The following subsequent events have occurred.

Convertible Note:

(i)The
Company converted convertible note principal of $875,000 and conversion fees of $315,865 by issuing