XML 27 R16.htm IDEA: XBRL DOCUMENT v3.8.0.1
NET INCOME (LOSS) PER SHARE
 9 Months Ended
Sep. 30, 2017
Earnings Per Share [Abstract]  
NET INCOME (LOSS) PER SHARE
NET INCOME (LOSS) PER SHARE
Basic and diluted net income (loss) per share is computed using the weighted average number of common shares outstanding for the period, excluding unvested restricted stock and RSUs. The following is a reconciliation of the numerators and denominators used in computing basic and diluted net loss per share for both continuing and discontinued operations:
 
 
Three months ended September 30,
 
Nine months ended September 30,
 
 
2017
 
2016
 
2017
 
2016
 
 
(in thousands, except
per share amounts)
Numerator:
 
 
 
 
 
 
 
 
     Income (loss) from continuing operations
 
$
(5,287
)
 
$
7,018

 
$
(32,997
)
 
$
(1,882
)
Income from discontinued operations, net of tax
 
—

 
—

 
—

 
649

Net income (loss)
 
$
(5,287
)
 
$
7,018

 
$
(32,997
)
 
$
(1,233
)
Denominator:
 
 
 
 
 
 
 
 
Shares used in computation of basic net income (loss) per share (weighted average common shares outstanding)
 
29,245

 
28,849

 
29,155

 
28,726

Dilutive potential common shares:
 
 
 
 
 
 
 
 
Stock options, ESPP, restricted Stock and RSUs
 
—

 
449

 
—

 
—

Shares used in computation of diluted net income (loss) per share
 
29,245

 
29,298

 
29,155

 
28,726

Basic net income (loss) per share:
 
 
 
 
 
 
 
 
Continuing operations
 
(0.18
)
 
0.24

 
(1.13
)
 
(0.07
)
Discontinued operations
 
—

 
—

 
—

 
0.02

Total
 
$
(0.18
)
 
$
0.24

 
$
(1.13
)
 
$
(0.05
)
Diluted net income (loss) per share:
 
 
 
 
 
 
 
 
Continuing operations
 
$
(0.18
)
 
$
0.24

 
$
(1.13
)
 
$
(0.07
)
Discontinued operations
 
$
—

 
—

 
—

 
$
0.02

Total
 
$
(0.18
)
 
$
0.24

 
$
(1.13
)
 
$
(0.05
)

The Company includes the underlying market condition stock options in the calculation of diluted earnings per share if the performance condition has been satisfied as of the end of the reporting period and excludes such options if the performance condition has not been met.

For the three months ended September 30, 2016, standard stock options to purchase approximately 2.7 million shares of common stock, with exercise prices greater than the average fair market value of the Company’s stock of $7.41 per share, were not included in the calculation because the effect would have been anti-dilutive.
As of September 30, 2017 and 2016, the Company had securities outstanding that could potentially dilute basic earnings per share in the future, but these were excluded from the computation of diluted net loss per share for the three months ended September 30, 2017 and nine months ended September 30, 2017 and 2016, since their effect would have been anti-dilutive. These outstanding securities consisted of the following:
 
 
September 30,
 
 
2017
 
2016
Standard and market condition stock options outstanding
 
3,815,784

 
3,661,163

Restricted stock awards outstanding
 
44,538

 
77,540

RSUs outstanding
 
627,454

 
527,410

ESPP
 
10,152

 
11,441