Note 7. Loss per Share

Basic loss per share is computed by dividing the net loss adjusted for preferred stock dividends by the weighted average number of common shares outstanding during the period. Diluted loss per share includes the weighted average common shares outstanding and potentially dilutive common stock equivalents. Basic and diluted loss per share for the three months ended August 31, 2026 and 2025 were calculated as follows:


	Three months ended August 31,
(in thousands, except per share amounts)	2026			2025
Numerator:
Net loss	$	(19,936	)	$	(5,540	)
Less: Accrued preferred stock dividends		(374	)		(373	)
Basic net loss applicable to common stockholders		(20,310	)		(5,913	)
Diluted net loss applicable to common stockholders	$	(20,310	)	$	(5,913	)
Denominator:
Basic weighted average common shares outstanding		1,382,223			1,252,551
Effect of dilutive securities:
Warrant exercises		—			—
Preferred stock conversions		—			—
Diluted weighted average common shares outstanding		1,382,223			1,252,551
Basic loss per share	$	(0.01	)	$	(0.00	)
Diluted loss per share	$	(0.01	)	$	(0.00	)

The table below shows the approximate number of shares of common stock issuable upon the exercise, vesting, or conversion of outstanding options, PSUs, warrants, convertible notes, and convertible preferred stock (including undeclared dividends) that were not included in the computation of diluted weighted average number of shares of common stock outstanding for the periods presented:


	Three months ended August 31,
(in thousands)	2026		2025
Stock options, PSUs, and warrants		438,882		254,959
Convertible notes		12,000		12,000
Convertible preferred stock		43,239		40,761