Company: NEWTP
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001587987-25-000084
Chunk: 127

Company: NewtekOne, Inc.
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 1
Chunk 127
---
, for diluted earnings per share$8,967 $9,250 Add: Preferred dividends on dilutive Series A convertible preferred stock¹— — Net income, for diluted earnings per share8,967 9,250 Total weighted-average basic shares outstanding25,156 24,287 Add effect of dilutive restricted stock awards²394 71 Total weighted-average diluted shares outstanding³25,550 24,358 Diluted earnings per share$0.35 $0.38 Anti-dilutive warrants, restricted stock awards, and Series A convertible preferred stock 998 1,065 1    For periods presented, the Series A convertible preferred stock was antidilutive and, therefore, the preferred dividends have not been added back to the numerator of Net income, for diluted earnings per share.2    Incremental diluted shares from restricted stock awards under the treasury stock method. 

3    For the three months ended March 31, 2025 and March 31, 2024, the Warrants were not included in the diluted share count because the results would have been anti-dilutive under the if-converted method. 

NOTE 15—BENEFIT PLANS:Defined Contribution PlanThe Company’s employees participate in a defined contribution 401(k) plan (the “Plan”) adopted in 2004 which covers substantially all employees based on eligibility. The Plan is designed to encourage savings on the part of eligible employees and qualifies under Section 401(k) of the Code. Under the Plan, eligible employees may elect to have a portion of their pay, including overtime and bonuses, reduced each pay period, as pre-tax contributions up to the maximum allowed by law. The Company may elect to make a matching contribution equal to a specified percentage of the participant’s contribution, on their behalf as a pre-tax contribution. 

Stock-based Compensation PlansRestricted Stock AwardsThe Company accounts for its stock-based compensation plan using the fair value method, as prescribed by ASC 718, Compensation—Stock Compensation. Accordingly, for restricted stock awards, the Company measures the grant date fair value based upon the market price of its Common Stock on the date of the grant and amortizes the fair value of the awards as stock-based compensation expense over the requisite service period, which is generally the vesting term. 

F-44

The Compensation, Corporate Governance and Nominating Committee of the Board approves the issuance of awards of restricted stock to employees and directors pursuant to the 202