Net Loss Per Share

6 Months Ended

Jun. 30, 2020

12. Net Loss Per Share

The Company computes basic net income (loss) per share by dividing net income (loss) by the weighted-average number of shares of common stock outstanding. Diluted net income per share includes the potential dilutive effect of common stock equivalents as if such securities were exercised during the period, when the effect is dilutive. Common stock equivalents may include outstanding stock options or restricted stock units, which are included using the treasury stock method when dilutive. For the three and six months ended June 30, 2020 and 2019, the Company excluded the effects of potentially dilutive shares that were outstanding during those respective periods from the denominator as their inclusion would be anti-dilutive due to the Company’s net losses during those periods.

The denominators used in the net loss per share computations are as follows:


	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2020	2019	2020	2019
Basic:
Weighted average common shares outstanding	46,799,703	39,818,162	46,762,327	39,685,954
Diluted:
Weighted average common shares outstanding - Basic	46,799,703	39,818,162	46,762,327	39,685,954
Common stock options*	—	—	—	—
Denominator for diluted net loss per share	46,799,703	39,818,162	46,762,327	39,685,954

*	No amounts were considered as their effects would be anti-dilutive.

Basic and diluted net loss per share are computed as follows:


	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2020		2019		2020		2019
Net loss	$	(25,068)	$	(22,960)	$	(53,990)	$	(44,920)
Weighted-average common shares outstanding:
Basic and Diluted		46,799,703		39,818,162		46,762,327		39,685,954
Net loss per share, Basic and Diluted	$	(0.54)	$	(0.58)	$	(1.15)	$	(1.13)

As of June 30, 2020 and 2019, 4,964,766 and 4,705,722 stock options, respectively, were outstanding, which could potentially dilute basic earnings per share in the future, but were not included in the computation of diluted net loss per share because to do so would have been anti-dilutive. In addition, 236,000 unvested restricted stock units issued to executive officers that were outstanding at June 30, 2020 were also not included in the computation of diluted net loss per share because to do so would have been anti-dilutive. The 36,000 restricted stock units granted in June 2020 to the non-employee members of the Board of Directors were also not included in the computation of diluted net loss per share because to do so would have been anti-dilutive (see Note 13, Stock-Based Compensation).