EARNINGS PER SHARE

The following tables set forth the calculation of basic and diluted earnings per share attributable to ordinary shareholders for the three and six months ended June 30, 2026 and 2025 (in thousands, except share and per share data):


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Basic EPS:
Numerator:
Net income attributable to Pagaya Technologies Ltd.	$	45,273	$	16,655	$	69,967	$	24,548
Less: Undistributed earnings allocated to preferred shares	1,077		1,017		1,670		1,509
Net income attributable to Pagaya Technologies Ltd. ordinary shareholders, basic	$	44,196	$	15,638	$	68,297	$	23,039
Denominator:
Weighted average shares used for earnings per ordinary share, basic	83,184,935		76,873,529		82,926,257		76,347,801
Earnings per share attributable to ordinary shareholders, basic	$	0.53	$	0.20	$	0.82	$	0.30

Diluted EPS:
Numerator:
Net income attributable to Pagaya Technologies Ltd. ordinary shareholders, diluted	$	44,196	$	15,638	$	68,297	$	23,039
Interest expense (add back) from exchangeable notes, net of tax (1)	3,131		—		6,028		—
Net income for diluted EPS	$	47,327	$	15,638	$	74,325	$	23,039
Denominator:
Shares used in computation of basic earnings per share	83,184,935		76,873,529		82,926,257		76,347,801
Assumed conversion of shares from exchangeable notes (1)	11,434,704		—		11,434,704		—
Ordinary share warrants	785,284		785,289		785,385		785,062
Share options	1,202,770		705,685		1,313,324		289,132
RSUs	639,886		1,264,668		503,751		852,798
Employee stock purchase plan	—		38,464		—		26,317
Weighted average shares used for earnings per ordinary share, diluted	97,247,579		79,667,635		96,963,421		78,301,110
Earnings per share attributable to ordinary shareholders, diluted	$	0.49	$	0.20	$	0.77	$	0.29

(1) The effect of interest expense and assumed conversion from exchangeable notes on the diluted EPS calculation for the three and six months ended June 30, 2025 would have been anti-dilutive and has been removed from the calculation.

EPS for Class B ordinary shares and EPS for preferred shares are not presented separately, as under the two-class method, the EPS for Class A, Class B and preferred shares are the same.

The following potentially dilutive outstanding securities as of June 30, 2026 and 2025 were excluded from the computation of diluted earnings per share because their effect would have been anti-dilutive for the periods:


	June 30,
	2026	2025
Share options	836,760	914,710
Options to restricted shares	19,883,294	19,909,511
RSUs	484,281	82,509
Ordinary share warrants	1,229,166	1,229,166

Exchangeable notes	—	11,434,704
Total	22,433,501	33,570,600