Earnings (Loss) Per Common Share

3 Months Ended

Mar. 31, 2018

Earnings (Loss) Per Common ShareBasic and diluted earnings (loss) per common share is determined in accordance with the applicable provisions of U.S. GAAP. Basic earnings (loss) per common share is computed using the weighted average number of shares of common stock outstanding for the period. Diluted earnings per common share is computed using the weighted average

number of shares of common stock, adjusted for the dilutive effect of potential common stock. Potential common stock, computed using the treasury stock method, includes the potential exercise of outstanding stock options and warrants and vesting of restricted stock units. Diluted loss per common share is equivalent to basic loss per common share, as the effect of potential common stock would be anti-dilutive.

For the three months ended March 31, 2018 and 2017, options to purchase common stock, unvested restricted stock units and outstanding warrants totaling approximately 5.6 million shares and 3.4 million shares, respectively, were excluded from the computation of diluted loss per common share, as their effect would be anti-dilutive. These shares could dilute earnings per common share in the future.

A reconciliation of basic earnings (loss) per common share to diluted earnings (loss) per common share is as follows (in thousands, except per share data):


	Three Months Ended March 31,
	2018		2017
Net income (loss)—basic and diluted:
Income (loss) from continuing operations	$	1,793	$	(4,240)
Loss from discontinued operations	—		(562)
Net income (loss)—basic and diluted	$	1,793	$	(4,802)
Weighted average common shares outstanding:
Weighted average common shares outstanding—basic	$	24,203	$	23,675
Dilutive effect of common stock equivalents	326		—
Weighted average common shares outstanding—diluted	$	24,529	$	23,675
Basic earnings (loss) per common share:
Income (loss) from continuing operations	$	0.07	$	(0.18)
Loss from discontinued operations	—		(0.02)
Basic net income (loss) per common share	$	0.07	$	(0.20)
Diluted earnings (loss) per common share:
Income (loss) from continuing operations	$	0.07	$	(0.18)
Loss from discontinued operations	—		(0.02)
Diluted net income (loss) per common share	$	0.07	$	(0.20)