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Net Loss Per Share
3 Months Ended
Mar. 31, 2019
Earnings Per Share [Abstract]  
Net Loss Per Share

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 months ended March 31, 2019 and 2018, 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

March 31,

 

 

 

2019

 

 

2018

 

Basic:

 

 

 

 

 

 

 

 

Weighted average common shares outstanding

 

 

39,552,277

 

 

 

32,681,661

 

 

 

 

 

 

 

 

 

 

Diluted:

 

 

 

 

 

 

 

 

Weighted average common shares outstanding - Basic

 

 

39,552,277

 

 

 

32,681,661

 

Common stock options*

 

 

 

 

 

 

Denominator for diluted net loss per share

 

 

39,552,277

 

 

 

32,681,661

 

 

 

*

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

March 31,

 

 

 

2019

 

 

2018

 

Net loss

 

$

(21,960

)

 

$

(16,767

)

 

 

 

 

 

 

 

 

 

Weighted-average common shares outstanding:

 

 

 

 

 

 

 

 

Basic and Diluted

 

 

39,552,277

 

 

 

32,681,661

 

 

 

 

 

 

 

 

 

 

Net loss per share, Basic and Diluted

 

$

(0.56

)

 

$

(0.51

)

 

As of March 31, 2019 and 2018, 4,925,641 and 3,932,992 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, 215,000 restricted stock units granted during the three months ended March 31, 2019 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).