Income (Loss) per Share

12 Months Ended

Dec. 31, 2015

5. Income (Loss) per Share

Basic income (loss) per share is calculated based upon the weighted-average number of shares outstanding during the period and contingently issuable shares such as fully vested deferred stock units, or DSUs, and in 2015, such equity was issued as restricted stock units, or RSUs (such RSUs and DSUs are collectively referred to herein as RSUs), in addition to shares expected to be issued under the Company’s employee stock purchase plan, or ESPP, as of the date all necessary conditions for issuance have been met. Diluted income per share gives effect to all potential dilutive shares outstanding during the period, such as stock options, nonvested RSUs and shares issuable under the Company’s ESPP.

As the Company reported a net loss for the years ended December 31, 2015 and 2014, the diluted net loss per share, as reported, is equal to the basic net loss per share since the effect of the assumed exercise of stock options, vesting of nonvested RSUs, and issuance of common shares under the Company’s ESPP are anti-dilutive. Total stock options, nonvested RSUs, and shares issuable under the Company’s ESPP excluded from the year ended December 31, 2015 net loss per share were 12,240,467; 866,540, and 61,766, respectively. Total stock options and nonvested RSUs excluded from the year ended December 31, 2014 net loss per share were 11,371,891 and 503,010, respectively.

For the year ended December 31, 2013, options to purchase 7,124,091 shares of stock with a weighted-average exercise price of $17.62 per share, respectively, were excluded in the computation of diluted net income per share because the effect from the assumed exercise of these options would be anti-dilutive.

The following table provides the calculation of basic and diluted net income (loss) per share for each of the periods presented:


	Year Ended December 31,
	2015		2014		2013
	(in thousands, except per share data)
Basic and dilutive numerator:
Net income (loss)	$	(2,787)	$	(10,699)	$	11,862
Denominator:
Shares outstanding		44,961		41,957		38,705
Contingently issuable shares – vested RSUs		—		—		7
Weighted-average shares outstanding — basic		44,961		41,957		38,712

Net effect of dilutive securities:
Stock options		—		—		104
Contingently issuable shares – nonvested RSUs		—		—		67
Weighted-average shares outstanding — diluted		44,961		41,957		38,883
Net income (loss) per share — basic	$	(0.06)	$	(0.25)	$	0.31
Net income (loss) per share — diluted	$	(0.06)	$	(0.25)	$	0.31