EARNINGS (LOSS) PER SHARE

6 Months Ended

Jun. 30, 2023

EARNINGS (LOSS) PER SHAREBasic earnings (loss) per share is computed by dividing net income (loss) available to common stockholders by the weighted-average number of shares of common stock outstanding during the period.

For periods of net income, and when the effects are not anti-dilutive, we calculate diluted earnings (loss) per share by dividing net income available to common stockholders by the weighted-average number of shares outstanding plus the impact of all potential dilutive common shares, consisting primarily of common stock options, shares to be purchased under our Employee Stock Purchase Plan (“ESPP”), and performance stock units, using the more dilutive of the treasury stock or the two-class method. For periods of net loss, diluted loss per share is calculated similarly to basic loss per share.

Our unvested restricted shares and Series A convertible preferred stock shares contain non-forfeitable rights to dividends, and therefore are considered to be participating securities; in periods of net income, the calculation of basic and diluted earnings (loss) per share excludes from the numerator net income (but not net loss) attributable to the unvested restricted shares and the common shares assumed converted from the preferred shares and excludes the impact of those shares from the denominator.

Earnings (loss) per share for the three and six months ended June 30, 2023 and 2022 are calculated for basic and diluted earnings (loss) per share as follows:


	Basic				Diluted				Basic				Diluted
(in thousands, except per share amounts)	Three Months Ended June 30,				Three Months Ended June 30,				Six Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022		2023		2022		2023		2022
Net income (loss) available to common shareholders	$	5,838	$	(15,330)	$	5,838	$	(15,330)	$	6,871	$	(35,865)	$	6,871	$	(35,865)
Earnings allocated to participating securities	(589)		—		(589)		—		(716)		—		(716)		—
Net income (loss) available to common shareholders	$	5,249	$	(15,330)	$	5,249	$	(15,330)	$	6,155	$	(35,865)	$	6,155	$	(35,865)
Basic Weighted-Average Shares Outstanding	17,688		16,272		17,688		16,272		17,044		16,205		17,044		16,205
Dilutive effect of common stock options, ESPP, and performance stock units					167		—						133		—
Diluted Weighted-Average Shares Outstanding					17,855		16,272						17,177		16,205

Income (loss) per share	$	0.30	$	(0.94)	$	0.29	$	(0.94)	$	0.36	$	(2.21)	$	0.36	$	(2.21)

The number of anti-dilutive shares, which have been excluded from the computation of diluted earnings (loss) per share, was 2.5 million for the three and six months ended June 30, 2023. For the three and six months ended June 30, 2022, all potentially dilutive shares were anti-dilutive and excluded from the calculation of diluted loss per share because we recognized a net loss.