v3.26.1
Earnings (Loss) Per Share
6 Months Ended
Jun. 30, 2026
Earnings Per Share  
Earnings (Loss) Per Share

8. Earnings (Loss) Per Share

Basic earnings (loss) per share (“EPS”) is computed by dividing net income (loss) available to common stockholders by the weighted average number of common shares outstanding during the period, excluding the effects of any potentially dilutive securities. Diluted EPS reflects, in periods in which they have a dilutive effect, the effect of common shares issuable upon the exercise of stock options and warrants, using the treasury stock method. Diluted EPS excludes all potentially dilutive shares of common stock if their effect is anti-dilutive.

The following table is a reconciliation of the numerator and denominator of the basic and diluted earnings (loss) per share computations for the three and six months ended June 30, 2026 and 2025:

Three Months Ended

Six Months Ended

June 30, 

June 30, 

  ​ ​ ​

2026

  ​ ​ ​

2025

  ​ ​ ​

2026

  ​ ​ ​

2025

Numerator:

Net loss attributable to Xcel Brands, Inc. stockholders (in thousands)

$

(2,476)

$

(3,988)

$

(4,965)

$

(6,785)

Denominator:

Basic weighted average number of shares outstanding

 

6,159,232

 

2,403,639

6,032,122

 

2,388,694

Add: Effect of warrants

 

 

 

Add: Effect of stock options

Diluted weighted average number of shares outstanding

 

6,159,232

 

2,403,639

6,032,122

 

2,388,694

Basic earnings (loss) per share

$

(0.40)

$

(1.66)

$

(0.82)

$

(2.84)

Diluted earnings (loss) per share

$

(0.40)

$

(1.66)

$

(0.82)

$

(2.84)

As a result of the net loss for all periods presented, the Company calculated diluted EPS using basic weighted average shares outstanding for all such periods, as utilizing diluted shares would be anti-dilutive to loss per share. The computation of diluted EPS excludes the following potentially dilutive securities because their inclusion would be anti-dilutive:  

 

Three Months Ended

Six Months Ended

 

June 30, 

June 30, 

  ​ ​ ​

2026

  ​ ​ ​

2025

  ​ ​ ​

2026

  ​ ​ ​

2025

Stock options

617,701

463,994

617,701

463,994

Warrants

3,152,209

1,395,664

3,152,209

1,395,664

Total

3,769,910

 

1,859,658

3,769,910

 

1,859,658