Net Income (Loss) per Share

9 Months Ended

Sep. 30, 2022

Basic net income (loss) per share is computed by dividing the net income (loss) by the weighted-average number of shares of common stock outstanding, less restricted stock awards (“RSAs”) subject to forfeiture. Diluted net income (loss) per share is computed by dividing net income (loss) by the weighted-average number of shares of common stock shares outstanding, less RSAs subject to forfeiture, plus all additional common shares that would have been outstanding, assuming dilutive potential common stock shares had been issued for other dilutive securities.

Anti-Dilutive Securities

In periods of net loss, the weighted average number of shares outstanding, prior to the application of the treasury stock method, excludes potentially dilutive securities from the computation of diluted net loss per common share because including such shares would have an anti-dilutive effect.

The following table sets forth the computation of basic and diluted net income (loss) per share during the three and nine months ended September 30, 2022 and 2021 (in thousands, except per share amounts):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
Numerator:
Net income (loss)	$	(9,992)	$	2,244	$	(20,988)	$	(11,089)
Denominator:
Weighted average common stock shares used in computing net income (loss) per share, basic	65,426		64,628		65,271		64,452
Effect of dilutive shares	—		3,113		—		—
Weighted average common stock shares used in computing net income (loss) per share, diluted	65,426		67,741		65,271		64,452
Net income (loss) per share, basic	$	(0.15)	$	0.03	$	(0.32)	$	(0.17)
Net income (loss) per share, diluted	$	(0.15)	$	0.03	$	(0.32)	$	(0.17)

The following shares were not considered in the computation of diluted net income (loss) per share because their effect was anti-dilutive (in thousands):


	Three Months Ended September 30,		Nine Months Ended September 30,
	2022	2021	2022	2021
Shares issuable under the Equity Incentive Plan	6,604	451	6,604	5,148