Capstone Holding Discloses Its Three And Six Months Reports Ended June 30, 2025 And For Three And Nine Months Ended September 30, 2025 Should No Longer Be Relied Upon Regarding Weighted Average Number Of Common Shares Outstanding And Basic And Diluted Net Loss Per Share

The same conclusion applies to the comparative weighted average number of common shares outstanding and the related basic and diluted net loss per share for the three months ended March 31, 2025, and to the comparative pro forma net loss per share for that period, in each case as presented in the Company’s Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2026, filed with the SEC on May 20, 2026. The Audit Committee of the Company’s Board of Directors concurred in that conclusion on August 10, 2026.

The weighted average share amount reported for the comparative three months ended March 31, 2025 was the number of shares outstanding at March 31, 2025 rather than an average weighted for the portion of the period each share was outstanding. That amount was 5,190,251 as reported and is 1,555,566 as restated, which changes net loss per share for that period from $(0.47) to $(1.56) and the comparative pro forma net loss per share from $(0.29) to $(0.97). Net loss for that period is unchanged. The Company is not amending its Quarterly Report on Form 10-Q for the quarterly period ended March 31, 2025; the correction is being made in the amendment to the Quarterly Report for the period ended March 31, 2026, where those comparative amounts are presented. The weighted average share amounts reported for the periods ended June 30, 2025 were the number of shares outstanding at the end of the period rather than averages weighted for the portion of the period each share was outstanding. The weighted average share amounts reported for the periods ended September 30, 2025 did not reflect the day weighted average of shares outstanding during the periods. The errors described above affect the weighted average share amounts and the related per share amounts. In the amendments described below the Company is also correcting the schedule of potentially dilutive securities presented in the notes to the financial statements. Net loss, net loss attributable to Capstone Holding Corp. stockholders, the consolidated balance sheets, the consolidated statements of stockholders’ equity (deficit) and the consolidated statements of cash flows are not affected. The financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025 are not affected.