Net Loss Per Share

3 Months Ended

Mar. 31, 2017

9. Net Loss Per Share

Basic earnings per share (“EPS”) is calculated by dividing the net income or loss available to common stockholders by the weighted average number of common shares outstanding for the period, without consideration for common stock equivalents. Diluted EPS is computed by dividing the net income available to common stockholders by the weighted average number of common shares outstanding for the period and the weighted average number of dilutive common stock equivalents outstanding for the period determined using the treasury-stock method. For purposes of this calculation, common stock subject to repurchase by the Company, options, performance-based restricted stock units and warrants are considered to be common stock equivalents and are only included in the calculation of diluted earnings per share when their effect is dilutive.

The following table presents the computation of basic and diluted net loss per share for continuing and discontinued operations (in thousands, except per share amounts):

	Three Months Ended March 31,
	2017			2016
Numerator:
Loss from continuing operations	$	(5,424	)	$	(4,248	)
Loss from discontinued operations		(91	)		(2,369	)
Net loss	$	(5,515	)	$	(6,617	)
Denominator:
Weighted average common shares outstanding		9,089			8,513
Weighted average unvested common shares subject to repurchase		(84	)		(47	)
Weighted average common shares outstanding—basic		9,005			8,466
Effect of dilutive securities:
Conversion of preferred stock		—			—
Options		—			—
Warrants		—			—
Weighted average common shares outstanding—diluted		9,005			8,466
Net loss per share, basic and diluted:
Continuing operations	$	(0.60	)	$	(0.50	)
Discontinued operations		(0.01	)		(0.28	)
Net loss per share, basic and diluted	$	(0.61	)	$	(0.78	)

The anti-dilutive securities not included in diluted net loss per share were as follows (in thousands):

	Three Months Ended March 31,
	2017		2016
Options to purchase common stock		1,164		629
Unvested restricted share awards		84		47
Series A Convertible Preferred Stock		7,622		—
Warrants to purchase common stock		9,440		962
Total		18,310		1,638