EARNINGS PER SHARE

12 Months Ended

Dec. 31, 2025

(15) EARNINGS (LOSS) PER SHARE

Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted-average number of common shares outstanding during the period. Diluted earnings (loss) per share is computed by dividing net income (loss) by the weighted-average number of common shares outstanding during the period increased by the number of additional shares that would have been outstanding related to potentially dilutive equity-based compensation and warrants.

The details of the earnings (loss) per share calculations for the years ended December 31, 2025, 2024, and 2023 are as follows:


	Year Ended December 31,
(in millions, except per share and per share amounts)	2025		2024		2023

Net income (loss)	$	1,332.8	$	495.8	$	460.2

Weighted-average number of shares outstanding - basic	381,712,181		376,418,933		380,144,059
Dilutive effect of equity-based compensation	$	8,940,643	$	9,906,125	$	6,082,208
Weighted-average number of shares outstanding - diluted	390,652,824		386,325,058		386,226,267

Earnings (loss) per share
Basic	3.49		1.32		1.21
Diluted	3.41		1.28		1.19

The dilutive effect of stock awards was 8.9 million for the year ended December 31, 2025. Anti-dilutive outstanding stock awards were insignificant for the year ended December 31, 2025.

The dilutive effect of stock awards was 9.9 million shares for the year ended December 31, 2024. Additionally, 1.1 million stock awards and 4.3 million warrants were also outstanding during the year ended December 31, 2024, but were not included in the computation of diluted earnings per common share because the effect would be anti-dilutive.

The dilutive effect of stock awards was 6.1 million for the year ended December 31, 2023. Additionally, 0.3 million stock awards and 3.2 million warrants were also outstanding during the year ended December 31, 2023, but were not included in the computation of diluted earnings per common share because the effect would be anti-dilutive.

Vertiv Holdings Co 10-K