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Net Income (Loss) Per Share
12 Months Ended
Dec. 31, 2017
Earnings Per Share [Abstract]  
Net Income (Loss) Per Share
Net Income (Loss) Per Share
Basic 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. Diluted net income (loss) per share is computed using the weighted average common shares outstanding for the period plus dilutive potential shares including assumed release of unvested restricted stock and RSUs, assumed exercise of stock options, and assumed issuance of common stock under ESPP using the treasury stock method. The following is a reconciliation of the numerators and denominators used in computing basic and diluted net income (loss) per share:
 
Years Ended December 31,
 
2017
 
2016
 
2015
 
(In thousands, except per share amounts)
Numerator:
 
 
 
 
 
  Income (loss) from continuing operations
$
(45,291
)
 
$
(40,030
)
 
$
2,858

  Income from discontinued operations, net of tax
$

 
$
649

 
$

   Net income (loss) used in computing basic net income (loss) per share
$
(45,291
)
 
$
(39,381
)
 
$
2,858

Denominator:
 
 
 
 
 
  Shares used in computation of basic net income (loss) per share (weighted average common shares outstanding)
29,179

 
28,759

 
28,097

Dilutive potential common shares:
 
 
 
 
 
Stock options, ESPP, Restricted Stock and RSUs

 

 
918

Shares used in computation of diluted net income (loss) per share
29,179

 
28,759

 
29,015

 
 
 
 
 
 
Basic net income (loss) per share:
 
 
 
 
 
    Continuing Operations
$
(1.55
)
 
$
(1.39
)
 
$
0.10

    Discontinued Operations
$

 
$
0.02

 
$
0.00

        Total
$
(1.55
)
 
$
(1.37
)
 
$
0.10

 
 
 
 
 
 
Diluted net income (loss) per share:
 
 
 
 
 
    Continuing Operations
$
(1.55
)
 
$
(1.39
)
 
$
0.10

    Discontinued Operations
$

 
$
0.02

 
$
0.00

        Total
$
(1.55
)
 
$
(1.37
)
 
$
0.10


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 year ended December 31, 2015, options to purchase approximately 1.2 million shares of common stock with an exercise price greater than the average fair market value of the Company’s stock of $11.16 per share were not included in the calculation because the effect would have been anti-dilutive.
As of December 31, 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 year ended December 31, 2017 and 2016, since their effect would have been anti-dilutive. These outstanding securities consisted of the following:
 
December 31,
 
2017
 
2016
Standard and market condition stock options outstanding
3,550,072

 
3,646,121

Restricted stock awards outstanding
44,538

 
77,540

RSUs outstanding
508,880

 
427,192

ESPP
14,425

 
17,506