Company: SWKH
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001628280-25-040420
Chunk: 27

Company: SWK Holdings Corp
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 27
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 statements for the year ended December 31, 2027. The Company is currently evaluating the impact of this ASU on its consolidated financial statements and related disclosures.

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Note 2. Net Income Per Share

Basic net income per share is computed using the weighted-average number of outstanding shares of common stock. Diluted net income per share is computed using the weighted-average number of outstanding shares of common stock, and when dilutive, shares of common stock issuable upon exercise of options and warrants deemed outstanding using the treasury stock method.The following table shows the computation of basic and diluted net income per share for the following periods (in thousands, except per share amounts):Three Months EndedJune 30,Six Months EndedJune 30,2025202420252024Numerator:Net income$3,536 $3,680 $8,075 $4,148 Denominator:Weighted-average shares outstanding12,208 12,458 12,218 12,467 Effect of dilutive securities— 12 — 17 Weighted-average diluted shares12,208 12,470 12,218 12,484 Basic net income per share$0.29 $0.30 $0.66 $0.33 Diluted net income per share$0.29 $0.30 $0.66 $0.33 There were no outstanding options to purchase shares of common stock for the six months ended June 30, 2025. For the three and six months ended June 30, 2024, outstanding options to purchase shares of common stock in an aggregate of approximately 37,000 and 42,000, respectively, have been excluded from the calculation of diluted net income per share, as such securities were anti-dilutive.

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Note 3. Finance Receivables

Finance receivablesFinance receivables are reported at their determined principal balances net of any unearned income, cumulative write offs charged against the allowance for credit losses, and unamortized deferred fees and costs. Unearned income and deferred fees and costs are amortized to interest income based on all cash flows expected using the effective interest method. The carrying values of finance receivables were as follows (in thousands): June 30, 2025December 31, 2024Term loans$234,118 $224,073 Royalty purchases12,312 64,936 Total before allowance for credit