Income (Loss) per Share

6 Months Ended

Jun. 30, 2016

Income (Loss) per Share

Income (Loss) per Share

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.

For the three and six months ended June 30, 2016, options to purchase 6,827,011 shares of stock with a weighted-average exercise price of $18.16 per share, 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.

As the Company reported a net loss for the three and six months ended June 30, 2015, 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 three and six months ended June 30, 2015, net loss per share were 12,550,398,896,693, and 165,167, respectively.

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

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2016		2015		2016		2015
	(in thousands, except per share data)
Basic and dilutive numerator:
Net income (loss)	$	6,895	$	(6,647)	$	9,384	$	(7,312)
Denominator:
Shares outstanding		44,957		44,849		44,999		44,725
Weighted-average shares outstanding — basic		44,957		44,849		44,999		44,725
Net effect of dilutive securities:
Incremental shares from equity awards		1,011		—		713		—
Weighted-average shares outstanding — diluted		45,968		44,849		45,712		44,725
Net income (loss) per share — basic	$	0.15	$	(0.15)	$	0.21	$	(0.16)
Net income (loss) per share — diluted	$	0.15	$	(0.15)	$	0.21	$	(0.16)