| Summary of Earnings Per Share, Basic and Diluted |
The following table sets forth the reconciliation of the numerator and denominator used to calculate basic and diluted earnings per Class A ordinary share (in thousands, except per share amounts):
| | | | | | | | | | | | | | | | | | | Years Ended December 31, | | 2025 | | 2024 | | 2023 | | Numerator | | | | | | | Consolidated net income | $ | 1,324,192 | | | $ | 1,330,813 | | | $ | 1,700,088 | | | Less: Net income attributable to the Continuing Investors Partnerships | 231,260 | | | 276,893 | | | 392,726 | | Less: Net income attributable to the Legacy Investors Partnerships | 232,524 | | | 194,937 | | | 172,528 | Less: Net income attributable to the Founder’s Equity(1) | 60,243 | | | — | | | — | | | Less: Net income attributable to the RP Holdings Class E Interests Holders | 29,218 | | | — | | | — | | | Net income attributable to Royalty Pharma plc - basic | 770,947 | | | 858,983 | | | 1,134,834 | | Add: Reallocation of net income attributable to the Continuing Investors Partnerships from the assumed exchanges of Class B ordinary shares | 231,260 | | | 276,893 | | | 392,726 | | Add: Reallocation of net income attributable to the Holders of RP Holdings Class E Interests from the assumed exchanges of eligible Class B ordinary shares | 3,315 | | | — | | | — | | | Net income attributable to Royalty Pharma plc - diluted | $ | 1,005,522 | | | $ | 1,135,876 | | | $ | 1,527,560 | | | | | | | | | Denominator | | | | | | | Weighted average Class A ordinary shares outstanding - basic | 429,801 | | | 448,185 | | | 447,601 | | Add: Dilutive effects as shown separately below | | | | | | | Assumed exchanges of Class B ordinary shares by Continuing Investors Partnerships | 132,616 | | | 145,911 | | | 155,292 | | Unvested RSUs | 14 | | | 12 | | | 7 | | Shares contingently issuable for the Equity Performance Awards | 270 | | | — | | | — | | | Assumed exchanges of eligible Class B ordinary shares by Holders of RP Holdings Class E Interests | 1,754 | | | — | | | — | | | Weighted average Class A ordinary shares outstanding - diluted | 564,455 | | | 594,108 | | | 602,900 | | | | | | | | Earnings per Class A ordinary share - basic | $ | 1.79 | | | $ | 1.92 | | | $ | 2.54 | | | Earnings per Class A ordinary share - diluted | $ | 1.78 | | | $ | 1.91 | | | $ | 2.53 | |
(1)Amounts represent the entirety of the EPAs prior to the Internalization and only the Founder’s Equity portion after the Internalization.
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