Net Income (Loss) per Common Share

9 Months Ended

Sep. 30, 2021

12. Net Income (Loss) per Common Share

Basic net income (loss) per common share is computed by dividing net income (loss) available to common stockholders during the period by the weighted average number of common shares outstanding during that period. Diluted net income (loss) per common share is impacted by equity instruments considered to be potential common shares, if dilutive, computed using the treasury stock or the if-converted method of accounting.

The calculations for basic and diluted net income (loss) per common share for the three and nine months ended September 30, 2021 and September 30, 2021 are as follows:

	Three Months Ended September 30,						Nine Months Ended September 30,
	2021			2020			2021			2020
Basic net income (loss) per common share:
Numerator:
Net income (loss)	$	2,540		$	389		$	3,541		$	(4,407	)
Accretion of Series B convertible preferred stock dividends		(289	)		(275	)		(859	)		(818	)
Net income (loss) available to common stockholders	$	2,251		$	114		$	2,682		$	(5,225	)

Denominator:
Weighted average common shares outstanding - basic		22,448			18,144			20,948			17,868
Net income (loss) per common share - basic	$	0.10		$	0.01		$	0.13		$	(0.29	)

Diluted net income (loss) per common share:
Numerator:
Net income (loss) available to common stockholders	$	2,251		$	114		$	2,682		$	(5,225	)
Plus: accretion of Series B convertible preferred stock dividends, if dilutive		289			—			—			—
Net income (loss) available to common stockholders	$	2,540		$	114		$	2,682		$	(5,225	)

Denominator:
Weighted average common shares outstanding - basic		22,448			18,144			20,948			17,868
Dilutive securities:
Stock options, RSUs, and warrants		925			506			913			—
Convertible preferred shares		5,957			—			—			—
Weighted average common shares outstanding - diluted		29,330			18,650			21,861			17,868
Net income (loss) per common share - diluted	$	0.09		$	0.01		$	0.12		$	(0.29	)

The following common stock equivalents have been excluded from diluted net income (loss) per share for the three and nine months ended September 30, 2021 and 2020 because their inclusion would have been anti-dilutive (in thousands):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2021		2020		2021		2020
Shares of common stock subject to outstanding RSUs		—		—		—		906
Shares of common stock subject to outstanding PSUs		175		—		175		—
Shares of common stock subject to outstanding stock options		2		102		2		553
Shares of common stock subject to outstanding warrants		—		—		—		315
Shares of common stock issuable upon conversion of Series B convertible preferred stock		—		5,673		5,957		5,673
Total		177		5,775		6,134		7,447