QUANTUM CORP /DE/

NOTE 8: NET LOSS PER SHARE

Equity Instruments Outstanding

The Company has stock options, warrants, performance share units and restricted stock units granted under various stock incentive plans that, upon exercise and vesting, would increase shares outstanding.

The dilutive impact related to shares of common stock from incentive plans and outstanding warrants is determined by applying the treasury stock method to the assumed vesting of outstanding performance share units and restricted stock units and the exercise of outstanding options and warrants. The dilutive impact related to shares of common stock from contingently issuable performance share units is determined by applying a two-step approach using both the contingently issuable share guidance and the treasury stock method.

The following weighted-average outstanding shares of common stock equivalents were excluded from the computation of diluted net loss per share attributable to common stockholders for the periods presented because including them would have been anti-dilutive (in thousands):

1 Stock awards include stock options, performance share units and restricted stock units

As of September 30, 2026, there were 13,909 shares of common stock equivalents related to performance-based stock options that vest only upon the achievement of specified performance conditions and the completion of a time-based service period. These contingently issuable options were excluded from the computation of diluted net loss per share for the three and six months ended September 30, 2026, and from the table above, as the specified performance conditions were not met as of September 30, 2026.

The Company had outstanding performance share units subject to market or performance conditions as of September 30, 2026 and 2025 that were eligible to vest into shares of common stock subject to the achievement of certain stock price or financial targets in addition to a time-based vesting period. These contingently issuable shares are excluded from the computation of diluted net loss per share if, based on current period results, the shares would not be issuable if the end of the reporting period were the end of the contingency period. There were 2,956 and 34,201 shares of contingently issuable performance share units subject to market or performance conditions that were excluded from the table above as the conditions were not satisfied as of September 30, 2026 and 2025, respectively.