Net (Loss) Income Per Common Share

6 Months Ended

Jun. 30, 2024

Net (Loss) Income Per Common Share

Net (Loss) Income Per Common Share

9. Net (Loss) Income Per Common Share

Basic net (loss) income per common share is calculated by dividing the net income by the weighted-average number of shares of common stock outstanding for the period less shares subject to repurchase, without consideration of potentially dilutive securities. Diluted earnings per share is calculated using the treasury stock method by dividing net income by the

total weighted average shares of common stock outstanding in addition to the potential impact of dilutive securities including restricted stock units, warrants, and options. In periods with a net loss, potentially dilutive securities are excluded from the Company’s calculation of earnings per share as their inclusion would have an antidilutive effect.

The following tables set forth the computation of basic and diluted net (loss) income per share attributable to common stockholders (in thousands, except share and per share amounts):

Basic EPS

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Numerator:
Net (loss) income	$	(2,502)	$	3,885	$	(2,704)	$	4,646
Denominator:
Weighted-average shares of common stock outstanding, basic		21,566,863		20,657,404		21,409,611		20,554,769
Net (loss) income per common share, basic	$	(0.12)	$	0.19	$	(0.13)	$	0.23

Diluted EPS

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Numerator:
Net (loss) income	$	(2,502)	$	3,885	$	(2,704)	$	4,646
Warrant liability fair value loss recognized		—		—		—		23
Net (loss) income attributable to common stockholders, diluted	$	(2,502)	$	3,885	$	(2,704)	$	4,669
Denominator:
Weighted-average shares of common stock outstanding, basic		21,566,863		20,657,404		21,409,611		20,554,769
Dilutive effect of stock options and RSUs		—		576,849		—		513,290
Weighted-average shares of common stock outstanding, diluted		21,566,863		21,234,253		21,409,611		21,068,059
Net (loss) income per common share, diluted	$	(0.12)	$	0.18	$	(0.13)	$	0.22

Potentially dilutive securities representing 2.1 million and 0.9 million stock options and RSUs that were outstanding during the three months ended June 30, 2024, and 2023, respectively, and 1.7 million and 1.3 million stock options and RSUs outstanding during the six months ended June 30, 2024 and 2023, respectively, were excluded from the computation of diluted earnings per common share during these periods as their inclusion would have an antidilutive effect.