Basic net income per share is calculated by dividing net income allocable to common stockholders by the weighted average number of shares of Common Stock outstanding during the period. In calculating diluted net income per share, the number of shares is increased by the weighted average number of potential common shares related to stock compensation awards, including restricted stock units, restricted stock, and stock options and shares issuable under convertible notes. No dilutive effect is recognized in a period in which a net loss has occurred.

On November 7, 2024, Centrus issued $402.5 million aggregate principal amount 2.25% Convertible Notes due 2030. On August 18, 2025, Centrus issued $805.0 million aggregate principal amount 0% Convertible Notes due 2032. The dilutive impact of both the 2.25% Convertible Notes and 0% Convertible Notes on the calculation of diluted income per share is considered using the if-converted method. However, because the principal amount of the 2.25% Convertible Notes and 0% Convertible Notes must be settled in cash, the dilutive impact of applying the if-converted method is limited to the in-the-money portion, if any, of the 2.25% Convertible Notes and 0% Convertible Notes.

The weighted average number of common and common equivalent shares used in the calculation of basic and diluted net income per share are as follows:


	Three Months Ended March 31,
	2026		2025
Numerator (in millions):
Net income	$	10.0	$	27.2




Denominator (in thousands):
Average common shares outstanding - basic	19,773		16,982
Potentially dilutive shares related to equity-compensation awards	46		66
Potentially dilutive shares related to 2.25% Convertible Notes	2,459		—
Potentially dilutive shares related to 0% Convertible Notes	168		—
Average common shares outstanding - diluted	22,446		17,048

Net income (loss) per share (in dollars):
Basic	$	0.51	$	1.60
Diluted	$	0.45	$	1.60