Net Income (Loss) per Share Attributable to Common Stockholders

12 Months Ended

Dec. 31, 2025

Net Income (Loss) per Share Attributable to Common Stockholders

Basic net income (loss) attributable to common stockholders per share is calculated by dividing net income (loss) attributable to common stockholders by the weighted-average number of shares of common stock outstanding. The Company computes diluted net income per share under a two-class method where income is reallocated between common stock, potential common stock and participating securities, if any. Diluted net income (loss) per share attributable to common stockholders adjusts the basic net income (loss) per share attributable to common stockholders and the weighted-average number of shares of common stock outstanding for the potentially dilutive impact of stock options using the treasury stock method.

The following table sets forth the computation of the Company’s basic and diluted net loss per share attributable to common stockholders:


	For the year ended December 31,
(In thousands, except for share and per share values)	2025		2024		2023
Numerator:
Net loss	$	(15,686)	$	(6,124)	$	(39,238)


Net loss attributable to common stockholders - basic and diluted	$	(15,686)	$	(6,124)	$	(39,238)



Denominator:
Weighted average shares of common stock outstanding - basic and diluted	111,209,322		100,245,394		94,516,690






Net loss per share, attributable to common shareholders:
Basic and diluted	$	(0.14)	$	(0.06)	$	(0.42)

The following potentially dilutive shares were excluded from the computation of diluted net income (loss) per share because including them would have been antidilutive:


	For the year ended December 31,
		2025	2024	2023
Stock options to purchase common stock		4,413,917	4,985,886	13,315,796
Unvested restricted stock units		7,394,489	7,683,177	8,256,453
Employee stock purchase plan		27,006	20,753	71,142
Total		11,835,412	12,689,816	21,643,391

Honest Company, Inc. 10-K